The Food Corporation of India (FCI) procured 45.44 million tonnes (mt) of rice as of March 31, 2023, marking a 7.3% decrease from the previous year's 49.01 mt after the 2023-24 kharif marketing season began on October 1. Notably, Chhattisgarh exceeded its production estimate, procuring 8.3 mt compared to 5.87 mt last year, which has sparked concerns about the procurement process. With the kharif season procurement target set at 52.5 mt, and ongoing procurement in states like Jharkhand, West Bengal, and Assam, the government anticipates an additional 4-5 mt, contingent on improved procurement rates, especially in West Bengal where there has been a significant drop.
Regional variations in procurement have been observed, with Punjab and Haryana completing their procurement by December and showing slight variations from the previous year. Uttar Pradesh, Telangana, and Odisha have also seen reductions in procurement compared to last year, with Andhra Pradesh experiencing a significant 36% decline. The national rice procurement for the 2022-23 season from all kharif, rabi, and zaid seasons amounted to 56.87 mt.
The drop in procurement and production, with an estimated 1% decrease in the country's rice output for 2023-24, has implications for India's food security. The government has been actively managing the rice supply, substituting wheat in the public distribution system in some states, and addressing inflation concerns by auctioning rice weekly and offering Bharat rice at subsidized prices to stabilize the market and ensure availability.