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India’s Rice Procurement Hits 53 Million Tonnes in FY 2024–25

India’s Rice Procurement Hits 53 Million Tonnes in FY 2024–25

India procured 531.13 lakh tonnes of rice in FY 2024–25, up 1.1% YoY. Government faces challenge of managing surplus rice stock after record harvest.

India has procured a total of 531.13 lakh tonnes (53.11 million tonnes) of rice during the October–June 2024–25 period, registering a marginal increase of 1.1% compared to the same period last year. This year’s procurement exceeds the annual requirement under the Public Distribution System (PDS) and related schemes, putting pressure on the government to manage rising foodgrain stockpiles.

Rice Procurement Trends and Record Harvest

According to official data, rice procurement stood at 531.13 lakh tonnes as of June 30, 2025, compared to 525.48 lakh tonnes in 2023–24. Further, the increase comes despite procurement dips in key states such as Punjab, Haryana, and Chhattisgarh. This year’s total includes more than 68 lakh tonnes of rice from the rabi crop.

India, the world’s largest rice producer, has harvested a record 149.07 million tonnes of rice during the 2024–25 crop year, with the kharif season alone contributing 121.85 million tonnes.

Kharif Season Procurement Completed

With Assam wrapping up its procurement by June 30, the government has officially completed kharif season purchases across all states. Procurement of rabi paddy began on April 1, with a government target of 71.7 lakh tonnes in rice terms.

Rice Procurement Highlights (2024–25 vs. 2023–24):

State 2023–24 (lt) 2024–25 (lt) % Change
Punjab 124.31 116.13 -6.6%
Telangana 63.86 71.25 +11.6%
Chhattisgarh 83.00 70.00 -15.7%
Odisha 48.20 51.30 +6.4%
Uttar Pradesh 36.05 38.66 +7.2%
Haryana 39.49 36.17 -8.4%
Bihar 20.63 26.28 +27.4%
Andhra Pradesh 20.38 24.63 +20.9%
Tamil Nadu 23.77 24.37 +2.5%
West Bengal 16.79 19.91 +18.6%
Source: Food Ministry of India

Surplus Stock Poses Storage and Distribution Challenges

Despite the annual PDS requirement standing at 410 lakh tonnes and the buffer norm of 135 lakh tonnes as of July 1, the government now holds over 321 lakh tonnes of rice and a similar volume of unmilled paddy. This puts the total rice stock significantly above consumption needs.

Furthermore, to alleviate the burden of excess inventory, the government continues to subsidize ethanol distilleries by ₹22.50 per kg.

Regional Procurement Trends

  • West Bengal’s procurement rose to 19.91 lt, up from 16.79 lt.
  • Odisha and Andhra Pradesh recorded year-on-year increases of 6.4% and 20.9% respectively.
  • Punjab’s procurement declined to 116.13 lt from 124.31 lt, missing the 124 lt target.
  • Haryana also fell short, collecting 36.17 lt against a target of 40 lt.

Chhattisgarh reported a sharp decline of over 15%, ending procurement by January 31.

Conclusion

With rice procurement in India crossing 53 million tonnes in 2024–25, the focus now shifts to effective inventory management and surplus disposal. While state-wise procurement trends show mixed performance, the overall increase reflects a robust harvest and active government procurement operations. However, the record stockpiles will require strategic liquidation through ethanol conversion and exports to avoid storage and inflationary pressures.

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