Kerala CM slams Centre's directive to halt additional bonus for paddy farmers

Chief Minister Pinarayi Vijayan has criticised the Centre's directive to halt the additional bonus provided by the Kerala government for paddy cultivation, calling it a challenge to farmers.

The Union Finance Ministry's Expenditure Secretary had recently written to the state government asking it to stop the additional payment, stating that surplus paddy production would increase storage costs and become a burden on the public exchequer. The CM alleged that the Centre had taken this stand without releasing its share of assistance for paddy procurement on time.

Vijayan said the Kerala government supports paddy cultivators by paying an incentive bonus of ₹6.31 over and above the Centre's Minimum Support Price (MSP) of ₹23.69, and questioned why the Union government, which is willing to write off large corporate loans, was objecting to it. He further accused the Centre of pressuring the state to review its policy by treating increased production as a liability.

The CM also sought clarity on whether the move was linked to opening Indian markets to American agricultural products as part of the proposed India–US trade agreement.

Renil Kumar, a paddy farmer from Kuttanad, questioned the claims surrounding the issue and said the controversy appeared to be an election gimmick by the state government. He noted that the state usually revises the additional bonus whenever the Centre increases the MSP, adding that higher production should ideally benefit both the state and the country rather than be projected as a problem. Pointing to low yields in recent years, Kumar said, "Earlier, we used to harvest around three quintals, but now it has come down to about one to one-and-a-half quintals. During rain-fed seasons, we were not even able to sow paddy."