CA,F & CS Department – De-Centralized Procurement – Policy for Kharif Marketing Season 2024-25 Orders – Issued.
G.O.MS.No. 11 Dated: 24-09-2024
Read the following
1. A.P. Rice Procurement (Levy) Order, 1984.
2. MoU with GOI on De-Centralized Procurement communicated with GOI lr.No.4(3)/2015-Py.I, dt.17.09.2020 from the Under Secretary to GOI, Dept. of Food & Public Distribution, Ministry of Consumer Affairs, Food & Public Distribution, New Delhi.
3. GO Ms.No.18 CAF &CS Dept., dt.27.07.2023.
4. GO Ms.No.40 CAF &CS Dept., dt.31.08.2023
5. GOI Lr.No.6-1/2024-MSP_ES, dated 26.06.2024 from the Adviser (MSP), Dept. of Agrl.& Farmers Welfare, M/o A&FA.
6. G.O.Ms.No.8 CAF & CS (CS.I) Dept., dated 15.07.2024
7. Minutes of Meeting with State Food Secretaries held on 29.08.2024 by the Secretary to GOI, DFPD, with all State Food Secretaries communicated with lr.No.3(6)/2024-Py.I, dt.12.09.2024 of the Under Secretary to GOI, DFPD.
8. Lr.No.8-1/2022-S&I (381310), dt.13.09.2024 from the Joint Commissioner (S&R), DFPD, M/o CAF&PD, GOI, New Delhi.
9. VC &MD, APSCSCL, Lr.No.Mktg/2024/KMS 2024-25, dt.21.09.2024.
Centralized Procurement – Policy for Kharif Marketing Season 2024-25 Orders
O R D E R:
1. Rice required for Public Distribution and Other Welfare Schemes was procured through mill levy from the Rice Millers as per the AP Rice Procurement (levy) Order,1984. Levy system was continued up to KMS 2014-15.
2. In order to ensure payment of Minimum Support Price (MSP) for paddy to the farmers and to avoid exploitation of farmers by any intermediaries and acquire self-sufficiency in procuring rice for Targeted Public Distribution System (TPDS) and Other Welfare Schemes (OWS) in the state. Decentralized Procurement (DCP) has been taken up in the State w.e.f. 1st October 2015.
3. A Memorandum of Understanding (MoU) was executed with the Govt. of India on Decentralized Procurement (DCP) Scheme. As per the DCP scheme the State Govt./ its agencies shall procure Paddy from the farmers, custom mill the paddy and retain the resultant raw rice to the extent required for TPDS and OWS as per allocation made by the Central Government and handover the excess stocks to the FCI for Central pool operations.
4. Govt. of AP has been taking several initiatives to benefit the farmers. In this context, Government has constituted a Group of Ministers (GoM) to suggest measures for improvement of paddy procurement process. The GoM has recommended the following measures for improvement of the Paddy procurement operations:
a. All necessary steps shall be taken to ensure payment of 100% MSP to farmers.
b. The AP State Government has renamed the Rythu Bharosa Kendras as Rythu Seva Kendras (RSKs). Paddy Procurement Centers (PPCs) shall be established at all Paddy growing districts across the State for the easy access of the farmers. Procurement Support Agencies (PSAs) shall be engaged to run the paddy procurement operations by PPCs at RSKs.
c. Procurement of paddy shall be done on the basis of e-Panta and e- KYC data of Agriculture department. All farmers (including tenant farmers) shall be registered in e-Panta portal by Village Agricultural Assistants (VAAs) before commencement of paddy procurement.
d. If quality of paddy is in adherence to FAQ norms, paddy shall be procured immediately. If paddy quality is not in conformity with FAQ norms, technical staff shall sensitize and request farmers to bring the paddy within the FAQ norms by drying etc.In such a situation paddy procurement is rescheduled.
e. Aadhar based payment shall be made to farmers based on e-Panta and e-KYC data shared by Agriculture Department.
5. The APSCSCL and AP MARKFED shall function as State Level Procurement Agencies for the season KMS 2024-25. AP MARKFED is appointed as an additional agency for paddy procurement for KMS 2024-25 (G.O.Ms.No.08, dated 15-07-2024). The AP MARKFED in association with the APSCSCL would be responsible for the paddy procurement operations in the entire State of Andhra Pradesh. APSCSCL shall be responsible for milling and distribution of Rice under various schemes.
6. The Rice Millers shall commence milling of paddy received from the PPCs within a week from the date and time of receipt and shall complete custom milling of paddy and deliver the resultant rice. either as raw rice or boiled rice to the FCI as prescribed by the Government or the APSCSCL for the paddy handed over by the APSCSCL/ AP MARKFED. It shall bemandatory that the Rice Millers return CMR within three months of receipt of paddy stock but not later than prescribed time limit of GoI.
7. APSCSCL shall maintain truck wise paddy issue entries and monitor them for receipt of proportionate CMR within the permitted time.
8. All Rice Millers engaged for paddy procurement operations should be mandatorily registered on the AP Paddy Procurement Portal. Rice Mills designated for milling within the State shall be registered online only aftera physical assessment of their installed capacity.
9. The milling capacity should be corroborated with the average electricity consumption for the full year of KMS 2023-24. The monthly electricity consumption data for KMS 2023-24 should be entered in the AP Paddy Procurement Portal for transmission to Central Food Procurement Portal (CFPP). Modernized mills may be given priority in the allocation of paddy.
10. Priority shall be given to non-trading rice mills for paddy allocation. Trading rice mills should be given paddy only as a last resort if there are n non-trading mills. In that case, the trading rice mill should maintain separate registers and accounts, and preferably separate storage for privately purchased paddy/rice, State Pool paddy/CMR and Central pool paddy/CMR shall be stored in a countable manner. Trading Rice Mills shall not be allowed to mill/process privately purchased paddy and its products until completion of CMR delivery to APSCSCL/FCI unless they have separate Milling Units under one firm with separate Electricity Service connections. In case of exigency special permission will be given.
11. The Rice Millers shall undertake custom milling of paddy procured by the State Government / its Agencies (APSCSCL & AP MARKFFED), as per the agreed terms and conditions and at the rates and norms fixed by the Government of India as stipulated in Clause 9(1) of the A.P. State Procurement (Levy) Order, 1984
12. Allotment of paddy to the Rice mills who were found with discrepancies in electricity (power) consumption, such rice mills shall be duly blacklisted for custom milling with APSCSCL. Further the rice mills which are trading rice/ broken rice in their rice mill privately should not be considered at any circumstances for custom milling operations. The Joint Collector &Ex- Officio Executive Director, (JC & EOED) APSCSCL shall ensure that such rice mills are kept away from CMR operations besides keeping a hack eye on such instances. The allocation of paddy to mills for custom milling shall be made only upto 75% of their milling capacity by considering time period as three months in a season (Kharif/Rabi) as per GoI instructions. If any complaint lodged against a Rice Mill, appropriate action shall be taken on the concerned Rice Mill, only after a thorough enquiry.
13. The Minimum Support Prices (MSP) for FAQ paddy fixed by Government of India for the KMS 2024-25 are as follows.
1. Common: Rs.2300/- per quintal.
2. Grade-A Rs.2,320/- per quintal.
14. The Uniform specifications for paddy and rice fixed by the GOI are detailed in annexure-I & II.
15. The estimated paddy procurement in Kharif 2024-25 season is 37.00 Lakh MTs.4
16. The rice millers may also purchase FAQ paddy at a price not less than the MSP and they shall invariably make payment to the farmers directly to the bank accounts of farmers through NEFT/RTGS or A/c payee cheques.
17. The rice millers shall maintain the details of paddy purchased, rice produced, sold, balance stock available in the mills etc., duly computerized in real time in form ‘A’ and ‘B’ registers prescribed in the A.P. Rice Procurement (Levy) Order, 1984 and make all information available online for verification. The millers should update the A & B Registers in the paddy procurement portal on daily basis and it is mandatory. Accordingly, instructions shall be issued by Collector (CS) for strict implementation.
18. Paddy allotment quantity for custom milling shall be linked with milling capacity of the mill which will be subjected to the pre-condition that the miller is duty bound to supply proportionate number of once used gunnies in advance at the localities specified by Collector (CS). The District Rice Millers association shall be responsible in mobilizing the Gunnies from the= Rice Mills and also to monitor the positioning of the gunnies at designated locations. Non-supply or not supplying in time will automatically result in reduction of the custom milling paddy target and further action of removing such mills from panel of mills for custom milling.
19. The Sub-Collector/RDO/Dy. Collector of each Revenue Division shall oversee the entire procurement process within their jurisdiction, with a specific focus on quality of the gunnies and gunny collection from Rice Millers. Regular inspections shall be conducted at rice mills.
20. Random quality checks of these once used gunny bags shall be conducted by the Revenue/Civil Supplies staff or who so ever assigned for this task by Collector(CS) at the mill point before dispatch by the PSA staff after their delivery at respective RSK/Mandal Level Godown. In case, the rice Miller is providing gunny bags to the PPCs, the miller shall ensure clear identification of the rice mill like mill code or number unique to Rice Mill is present on each gunny bag.
21. The Rice miller shall not purchase and recycle the PDS rice for delivery as Custom Milled Rice (CMR). CMR shall not be used or cause to be used for sale in the open market in the guise of non PDS rice/super fine rice or export to the other countries either by reconditioning or changing the bags, etc., Violation of this condition shall attract the meaning of Mischief under Section 318 of the Bharatiya Nyaya Sanhita (BNS) and the miller shall be liable for criminal action by imposing Prevention of Damage to Public Property Act, 1984, and Andhra Pradesh Revenue Recovery Act, 1864, to recover the CMR dues equivalent penal value besides black listing for two (2) years (Crop years) . Bank Guarantee will be forfeited if any mill found in offences like recycling.
22. The Joint Collector &EOEDs shall tag the PPCs at RSKs for shifting of paddy procured to the nearest rice mills. Paddy shall be allotted to the rice mills 5 for custom milling and delivery of CMR strictly as mentioned in point no 12 and enter into MOU with the designated rice mills in the prescribed format along with Bank Guarantees at paddy Cost in 1:1 ratio and handover the same to DCSM, APSCSCL for safe custody and further monitoring/renewing its validity.
23. The rice miller shall furnish the bank guarantee at 1:1 ratio equivalent to the paddy value for allotment of Government paddy for custom milling and delivery of CMR. The rice miller shall submit Bank Guarantee as per the amount generated in the paddy procurement portal based on paddy allocation (refer point no: 12). The value of Bank Guarantee to be submitted will be relaxed for Agency Districts or where ever necessity arises in the interest of the farmers by obtaining cluster agreement with the Rice Millers and counter signed by District Rice Millers Association.
24. If the rice miller fails to deliver the CMR within the stipulated time, after giving notice to the defaulted rice miller, the corporation is at liberty to invoke the Bank Guarantee submitted byhim duly following the guidelines issued vide GO Ms. No.18 of CA,F & CS (CS-I) Dept.dated:27-07-2023.
25. Regarding rice mills which are taken on Lease, the trading rice miller shall compulsorily enter into an agreement with the leased rice mill owner so as to make him abide with the conditions of the Govt. in procurement operations. Otherwise the lease rice miller shall have to submit BG in 1:1.5 ratio.
26. Paddy shall be allotted to the Rice Millers having Fortified Rice Kernel Blending machinery only. Each Rice Miller shall get +F endorsement from FSSAI to mark +F symbol in blue colour on CMR gunny bag and rexin slip. District Collectors and Collectors (CS) shall review the entire process of paddy procurement and custom milling operations regularly and take all necessary actions against the Rice Millers, who fail to do custom milling of paddy procured by the APSCSCL/MARKFED. The Rice Millers are liable for prosecution, blacklisting etc., if they fail to deliver, misappropriation of paddy/ CMR etc. There should be keen observation of recycling and stringent action has to be initiated to the erring Agency/Rice Mill. Upon verifying the facts and ascertaining that the mill falls under the defaulted category in delivering the Custom Milling Rice (CMR) during the concerned season, Joint Collector & Ex-Officio Executive Director (JC & EOED), APSCSCL shall immediately invoke the Bank Guarantee submitted by thedefaulting miller and levy of penalty to recover the due amount and the loss caused to the APSCSCL/Government.
27. Penalty that is to be imposed on the defaulting dealer/Miller shall be 0.5 times of the worth of Custom Milling Rice (CMR) quantity due against the said default miller and such penalty shall always be paid by the defaulter in the form of a money deposit or by way of a demand draft taken in favour of APSCSCL in addition to the value of actual CMR defaulted quantity
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