Bengal Rice Mills Association decides not to renew contract unless state hikes milling charges
The Bengal Rice Mills Association (BRMA), which has been pushing the state government for an increase in the milling charge, unanimously decided not to renew contracts for the ensuing 2024-25 Kharif season unless significant changes are made to the existing system as pertheir demands.
“Millers currently receive Rs 30 per quintal — Rs 20 from the Central government and Rs 10 from the state. The state government has been giving Rs 10 since 2016 and umpteen pleadings for increasing the same have fallen on deaf ears. The neighbouring state Jharkhand offers Rs 60, Assam Rs 50 and Chattisgarh Rs 120. We demand Rs 60 as milling charge,” said Abdul Malek, acting president of BRMA.
The BRMA organised a convention on Friday in presence of 500 representatives from different parts of the state ahead of the October 20 deadline for renewal of contract and decided all 575 mills presently operational in Bengal will stay away from renewal.
The association of rice mill owners raised inhibitions over the bank guarantee of Rs 40 lakh fixed by the state government against receipt of paddy worth Rs 1 crore if the contract is renewed by October 20. “Last year, we gave a bank guarantee of Rs 25 lakh. Even if we go by the MSP (minimum support price) fixed by the Centre, this amount should not exceed Rs 30 lakh. We want to know what is the basis for the Food and Supplies department in charging such a huge bank guarantee? questioned Malek.
The association also demanded a review of the milling process, noting discrepancies between the rice they receive and what they are required to deliver.
State Food and Supplies minister Rathin Ghosh claimed that the demand of the Association regarding milling charges was justified. “The Central government is supposed to review the same but they have not done so. We have sent a proposal to the state government for raising the milling charges and we are hopeful that it will be approved,” Ghosh added.
The procurement of paddy for the Kharif season is slated to start from November 2.
This article has been republished from The Millennium Post