The West Bengal Cold Storage Association is pressing the state government for an increase in rental charges for potato storage, highlighting significant losses due to unchanged rates for the last two years. An expert committee recommended a hike in rental charges in early 2023 to address rising input costs, machinery maintenance, and labor costs. However, the government has not yet acted on these recommendations, contributing to financial strains in the cold storage sector.
Currently, cold storage rental rates in West Bengal are between ₹168 to ₹172 per quintal, with no revision since 2021. The stagnation of rates has led to operational challenges for storage operators, resulting in the surrender of licenses and closure of about 50 cold storages in the past two years. This situation has also led to numerous units being classified as Non-Performing Assets (NPAs) by banks.
In West Bengal, the cold storage industry, primarily focused on potato storage, plays a critical role in the state's economy. There are approximately 460 cold storage facilities across the state, with a combined capacity of around 73 lakh tonnes. The association has indicated that if there is no revision in rental charges by a specified date, they will have to convene a meeting to decide on further actions, underlining the urgency for governmental response to support the industry.