You are on page 1of 20

Fax: 040-23310474 Telex : 0425-6356 FOOD IN Grams : STATE FOOD Post Box No.

: 1527

The Andhra Pradesh State Civil Supplies Corporation Ltd.


(A State Government Undertaking) Regd. Office: 6-3-655/1/A, Civil Supplies Bhavan, Somajiguda, HYDERABAD -500 082

SMT. B.UDAYA LAKSHMI, IAS., VC & MANAGING DIRECTOR. CIRCULAR. MKTG.NO.71. Lr.No.Mktg.M2/4736//2009-10/Paddy. Date:21.11.2009.

Sub:- APSCSCL- Marketing - Procurement of Paddy under MSP during KMS 2009-10 - Instructions issued - Reg. Ref:1. GO Ms.No.56, CA, F & CS(CS.I) Dept., dtd.30.10.2009. 2. HO Cir.No.48 (Mktg.M2/1 0021/2007 -8/Paddy, dtd.5.1 0.2007 (Operational Guidelines issued in GO Ms.No.38. CA, F & CS (CS.I) Dept., dtd.24.9.2007. 3.HO Cir.No.67(Mktg.M2/7446/2008-09-Rabi, dtd.9.5.2009. 4. GOI Lr.No.8(1)/2009-PY-I, dtd.1.11.2009 (CCS Ref. No.P1 (1)/6466/2009 dtd.7.11.2009). 5. CCS Ref.No.P1 (1)/3428/2009, dtd.20.11.2009.

("l~)
~ / '\.....-~

-0In the reference 1st cited, Government of Andhra Pradesh has issued orders on the Procurement Policy for Kharif Marketing Season 2009-10. A copy of the GO 1st cited along with the operational guidelines for procurement of paddy communicated vide reference 2nd cited are enclosed herewith. The salient features contained in the G.O. cited are detailed below: 1. MINIMUM SUPPORT PRICE: Price per quintal of Fair Average Quality of paddy Grade - A : Rs.980/Common : Rs.950/2. BONUS: Govt., of India vide reference4-~ cited has communicated the Incentive Bonus of Rs.50/- per quintal of paddy over and above the MSP of Rs.950/- per quintal and Rs.980/- per quintal in respect of Common and Grade-A varieties respectively, subject to the condition that the State Government shall fully exempt the bonus amount from all State Taxes and levies.

3. PADDY SPECIFICATIONS: Paddy shall be in sound merchantable condition dry, clean, wholesome of good food value, uniform in colour and size of grains and free from moulds, weevils, obnoxious smell, Argemone maxicana, Lathyrus sativus (Khesari) and admixture of deleterious substances. Paddy will be classified into Grade-A and Common groups. Schedule of specification. SI.No 1 Refractions Foreign matter a) Inorganic b) Organic Damaged, discoloured, sprouted and weevilled qrains. Immature, Shrunken and Shrivelled grains Admixture of lower class Moisture Maximum Limits(%) 1.0 1.0 4.0 3.0 7.0 17.0

2 3 4 5.

4. OPERATIONAL GUIDELINES: Operational guidelines for MSP operations for paddy during KMS 20072008 communicated vide reference 2nd cited are the same for KMS 2009-10. 5. TARGET FOR PROCUREMENT: The APSCSCL has to make arrangements for procurement of 7.50 lakhs Mts of paddy in Kharif and Rabi Season in the districts allotted. 6. SELF HELP WOMEN GROUPS: The APSCSCL should procure Paddy by opening Paddy Procurement Centres at required places and also with the help of Women Self Groups of IKP in paddy growing districts as per the districts allotted by the Commissioner of Civil Supplies depending on the availability of experienced and active SHGs as mutually decided by the VC & MD, APSCSCL and Chief Executive Director, SERP. 7.CUSTOM MILLING OPERATIONS: The Rice Millers should undertake simultaneously the custom milling of paddy procured by the APSCSCL, as per the agreed terms and conditions and at the rates and norms fixed by the Govt. of India. The Collectors shall allot paddy purchased at PPCS / SHGs of IKP to the nearest Mills for CMR based on the milling capacity for immediate custom milling without storing the paddy. The Rice Millers, within 15 days from the date of receipt of paddy, shall complete custom milling of paddy and deliver the resultant rice either as raw rice or boiled rice as prescribed by the Government for the paddy handed over during the KMS

2009-10 by the APSCSCL. The Collectors shall direct the Rice Millers to mill the paddy handed over to them and deliver custom milled rice to the FCI along with the Levy Rice if necessary by fixing a ratio between the mill levy delivery and the custom milled rice delivery. The Collectors shall review the entire process of custom milling operations regularly and take necessary action against the rice millers, who fail to do custom milling of paddy procured by the APSCSCL I Self Help Women Groups of Indira Kranthi Pathakam, duly following the procedure in vogue. In cases of failure by rice millers in converting the paddy to rice within the stipulated time, the Collectors shall furnish to the Food Corporation of India, the details of defaulters together with mill-wise quantities given for custom milling, quantity milled and the quantity yet to be milled, so that the Food Corporation of India shall deduct the equivalent quantity of resultant rice for the paddy yet to be milled against the levy rice being delivered by such rice miller. 8. TRANSPORTATION OF PADDY TO THE NEAREST DISTRICT:

In case of any delay in custom milling of paddy due to non-availability of adequate capacity of rice milling industry in the district, the paddy may be transported to the nearest district for immediate custom milling. For example, the paddy procured at Mahabubnagar district may be transported to Kunrool district or Rangareddy district and the paddy procured at Adilabad district may be transported to Karimnagar district or Nizamabad district for custom milling. The expenditure incurred by the APSCSCL shall be booked to the MSP operations of paddy and the same shall be included in the audited accounts of KMS 2009-10, so that the Govt. of India will be requested for reimbursement of the same. 9. INFRASTRUCTURE: At all the purchase centres, required number of paddy cleaners, moisture meters, calipers, winnowing machines, tarpaulins, stitching machines and weighing scales (electronic) have to be positioned. In case of centers set up by the SHGs of IKP, the Marketing Department has to position necessary infrastructure available within the district or other-wise from the neighbouring districts. 10. UNIFORM HAMALI CHARGES: The Collectors shall fix uniform Hamali charges in the entire district by conducting meeting with the Hamali Unions, Secretaries of AMCs and Procuring Agencies. The Hamali Charges should include weighment, stitching and stacking I loading at PPCs I AMCs. The Hamli Charges, thus, fixed will have to be borne by the APSCSCL at PPCs. 11. DISTRICT PROCUREMENT COMMITTEE: The Collectors shall constitute a District Procurement Committee with the Joint Collector as Chairman with District Level Officials of all connected departments, namely, Agriculture, Marketing, Civil Supplies, Transport, DRDA, ITDA, I&PR, Warehousing Agencies (CWC, SWC), Procurement Agencies (FCI, APSCSCL) and also Sub-Collectors I RDOs as members to coordinate and

decide on all activities and monitor the work on day-to-day operational guidelines. 12. PUBLICITY:

basis as per the

Wide publicity of the location of the Paddy Procurement Centres, specifications of FAQ paddy, MSP including Bonus should be given through press and pamphlets, leaflets and electronic media besides organizing extensive training programme and relevant operational details printed by the District Administration should be distributed to the farmers in coordination with the Marketing Department. In the reference 5th cited (copy enclosed), the Commissioner of Civil Supplies and Ex.Officio Secretary to Government has also issued further instructions for undertaking paddy procurement operations during KMS 2009-10 by the Food Corporation of India and A.P. State Civil Supplies Corporation Ltd., with the help of Women Self Groups of IKP at field level for the benefit of the marginal farmers in getting MSP for their produce smoothly and effectively. Thus, the following instructions are hereby issued to all the Joint Collectors & Ex.Officio Executive Directors and District Managers for smooth paddy procurement operations during KMS 2009-10. 1) Opening of Paddy Procurement Centres. The Joint Collectors & for procurement of paddy at points including CWC & SWC Marketing Department for the EOEDs should insist the Rice Millers Association the regulated markets, notified markets, godown godowns and rice mill premises as declared by the purpose of purchase of paddy.

The Civil Supplies Corporation shall open paddy purchase centers by itself or through IKP groups at such locations, where the centres are absolutely required and where the farmers are not getting MSP for their produce, till allocation of paddy Procurement District between the Food Corporation of India and A.P. State Civil Supplies Corporation is finalized and as decided by the District Collector. The Food Corporation of India will open PPCs at regulated Market Yards and Agricultural Market Committee Yards. , as decided by the District Collector.
2) Role of IKP Groups:

The role of IKP Groups is limited to procurement of FAQ paddy only from the small and marginal farmers at field level. The procured quantities from IKP Centres have to be transported to the identified rice mills directly for simultaneous custom milling without storage by District Manager, APSCSCL.

3) Period of Procurement. The MSP operation of paddy shall be for a period of 75 days. For each district, depending upon the harvesting and arrival of paddy, the Collector will decide and notify the date from which MSP operation will commence for 75 days. 4) Identification of Farmers. Farmers shall be insisted upon to bring Pattadar Pass Books along with them for quick disposal of their produce. Particular attention shall be paid to the problems of small and marginal farmers in speedy disposal of their produce. The farmers shall be informed not to go for distress sale of FAQ paddy at all. 5) Regulation of Paddy Arrivals. Village-wise arrival schedule should be informed through beat of drum (tom tom) for the benefit of the farmers. This shall also be prominently indicated at conspicuous place in the Paddy Purchase Centres. This work is entrusted to Mandai Revenue Officers concerned in consultation with Mandai Agricultural Officers and Secretaries, AMC concerned. 6) Availability of required number of gunnies:

The District Managers shall utilize the once used gunnies available with the Corporation to start with. As the Corporation has decided to purchase new jute gunnies from DGS&D, Kolkata, all the District Managers should assess the actual requirement of new gunnies in their respective districts for Kharif & Rabi 2009-10 and place indents with the Head Office much in advance for placing orders and supply of gunnies from the Jute Factories on which allocations are made. However, in case of dire necessity, Gunnies may be taken (1) from FCI on loan basis! outright purchase basis; (2) purchase once used gunnies from FP Shop dealers at the rates duly approved by District Procurement Committee; (3) from GCC at the approved rates. The purchase of once used gunnies from private parties I traders through Tender process is not allowed. 7) Deployment of staff. To facilitate smooth and easy procurement, required number of staff shall be deployed as per the need indicated by the District Collector, by deputation from other departments apart from Corporation staff. 8) Accountability. The employees at the purchase centres shall be accountable for quality, quantity and maintenance of proper accounts. 9) Handing over of paddy to the Designated Rice Mills. Paddy purchased by the Corporation shall be handed over to the nearest designated rice mills for custom milling as per the agreed terms and conditions and at the rates and norms fixed by the Government of India. The paddy should be handed over against either advance delivery of rice or against the undertaking given by the Rice Millers Association of the concerned District or area. The

system of Bank Guarantee or collateral security equivalent to paddy delivered to be taken from the individual rice millers as one of the mechanisms to ensure security of stocks. 10) Trading Mills as Storage Points. (Ref.3rd cited). The Joint Collectors & EOEDs shall declare all the trading Rice Mills in the districts who are participating in the Custom Milling operations, as storage points, for storage of paddy supplied to the Rice Millers for undertaking custom milling on behalf of APSCSCL, duly giving full data ie., name of the rice mill and address, extent of space earmarked for storage as ordered by the State Government. The Miller shall ensure that the storage of paddy stocks of the Corporation separately from that of his own purchased paddy stocks by erecting a physical barrier such as a boundary wall or a proper and durable fencing. An acknowledgement shall be obtained from the Rice Miller for claiming storage charges with the FC!. 11) Joint Custody of Paddy Stocks. The paddy stock delivered to the Rice Mills for custom milling shall be under the joint custody of the miller and the local officer designated by the Joint Collector. A separate stock register should be maintained for this purpose. Proportionate paddy stocks should be delivered to the Rice Millers against the . advance CMR delivered to the FCI, duly signed by the designated officer in the Stock Register. If the miller contravenes any of the conditions of the agreement entered with Civil Supplies Corporation, he will be blacklisted and proceeded against under the provisions of law. 12) Inspection. In order to ensure the safety and security of the paddy stocks and to ensure the delivery of custom milled rice by the millers in time and at the stipulated ratio fixed for levy and CMR, the District Enforcement staff such as DT(CS), MRI etc. should be directed to inspect the rice mills under their jurisdiction for making the millers adhere to the orders of the Government in letter and spirit. 13) Appointment of Division-wise Transport Contractors. Paddy purchased by the Corporation shall be handed over to Rice Mills. The transport contractors for transportation of paddy for each Division should be appointed by the District Procurement Committee duly keeping in view the rates of local Foodgrain Contractors and FGI rates in finalization of transportation rates. All the District Managers shall furnish the list of transport contractors appointed by the District Committee to Head Office. 14) Finalization of Rates etc. The District Procurement Committee should call for the tenders, finalise the rates duly following the norms and guidelines communicated by the Government and Head Office from time to time on the following: a) Procurement of once used gunnies through F.P.Shop Dealers IGCC. b) Transportation of paddy. c) Finalisation of uniform hamali charges. d) Fixation of rent for private godowns.

All the District Managers shall furnish the rates fixed on the above to Head Office with specific report. 15) Payment to Farmers. The payment has to be made to the farmers through bearer cheques up to RS.20,0001- and through Account Payee Cheques for more than RS.20,0001-. If IKP and APSCSCL are jointly doing the MSP operations, there is an imperative need to inform the farmers and IKP Groups that the release of money from the Corporation will take a maximum period of 30-45 days or it can be released immediately on realization of CMR from FCI, whichever is earlier. Payment of cost of paddy procured by the IKP Groups should be made to the PO, DRDA immediately after realization of cost of CMR from the FCI. 16) Mobilisation of funds locally: Due to mobilize funds "Pavala Vaddi farmers by the funds. funds constraint in APSCSCL, the District Collectors should locally and also may arrange credit to the IKP Groups under Scheme" for initial working capital to make payments to the IKP Groups immediately in between the period of adjustment of

1~

17) Reports to Head Office. The District Managers shall furnish Daily Reports through AP Online and Fax before 1.00 PM on the next day for both the paddy procured at PPCs IIKPS without fail, so as to enable the Head Office to prepare consolidated report and furnish to Government by 3.00 PM, as was done during KMS 2008-2009. The District Managers should also send daily reports on paddy delivered to Rice Mills from PPCs I IKPCs for custom milling and rice delivered by the Rice Millers to FCI under CMR. GENERAL: a) No complaints shall be received from the farmers for not purchasing the paddy at MSP on the flimsy grounds of non-availability of Incharges, gunnies, amount etc. b) The District Managers are requested to send provisional incidental expenditure to be incurred on procurement of paddy to Head Office for taking necessary action. c) The storage losses, if any, soon after liquidating the paddy stocks at PPCs I IKPCs shall be noted for taking necessary remedial measures to fix up responsibility for recovery of the value of loss of paddy. d) Reconciliation of Paddy Account shall be done immediately movement of paddy to the Rice Millers from the PPCs IIKPCs. e) Commission to the Societies shall be paid @ 2.5% India in the Costing Sheet on the MSP value of IKP Groups, after reconciliation of paddy account effect received from the DRDA, on realization from after

as fixed by the Govt. of stocks procured by the and certificates to that the Fe!.

f) The District Managers shall furnish storage loss/gain details in the prescribed proforma after completion of the season i,e., Kharif / Rabi. g) The District Managers and Asst. Managers (Tech) shall visit all the PPCs at least thrice in a week on alternate days so as to check the quality and quantity and also to solve the operational problems, on daily basis by either of them. The above circular instructions should be followed scrupulously and the District Managers are instructed to acknowledge receipt of the circular.

Encl: As above.

Sd/- B.Udaya Lakshmi VC & MANAGING DIRECTOR.

GENERA
\~)O\o'1

To ""' \" All the Joint Collectors & Ex.Officio Executive Directors, APSCSCL All the District Managers, APSCSCL. All the Zonal Managers, APSCSCL. Copy to all District Collectors. Copy to all General Managers - APSCSCL- HO Copy submitted to the Commissioner of Civil Supplies, AP, Hyderabad Copy to the Director of Civil Supplies, A.P.,Hyderabad. 5-~?Vto the Commissioner of .Marketing/Agriculturell & PR, A P Hyderabad. )Zopyto'1he.Chief Executive Officer, SERP, Hyderabad.

GOVERNMENT
CCS Ref.No. P1 (1))/3428/2009

OF ANDHRA PRADESH
(CS.I) DEPARTMENT Date:20.11.2009.

CONSUMER AFFAIRS, FOOD AND CIVIL SUPPLIES

Sub:- CIVIL SUPPLIES - Procurement Policy of Paddy under MSP during KMS 2009-10 - Further Instructions issued. Ref:GO Ms.No.56, CA, F & CS (CS.I) Dept., dtd.30.10.2009. -0-

In the reference cited, procurement policy of paddy and rice for Kharif Marketing Season/ 2009-10 was communicated. For undertaking paddy procurement operations during KMS 2009-10 by the Food Corporation of India and A.P. State Civil Supplies Corporation Ltd., with the help of Women Self Groups of IKP at field level for the benefit of the marginal farmers in getting MSP for their produce smoothly and effectively, the following further instructions are issued. 1. The Food Corporation of India shall open Paddy Purchase Centres at regulated Market Yards and Agricultural Market Committee Yards and the A.P. State Civil Supplies Corporation shall open PPCs by itself or with the help of IKP Groups at the locations wherever absolutely necessary, with reference to the paddy production, viability, road connectivity, etc. and wherever the farmers are not getting MSP for their produce, till allocation of Paddy Procurement Districts between the FCI and APSCSCL is finalised. The role of IKP Group is limited to procurement of paddy mainly from the small and marginal farmers at field level. The IKP groups have to procure FAQ paddy only and they have to take all necessary steps for preservation of paddy stocks and handing over of stocks to APSCSCL. The procured quantities from IKP Centres have to be transported to the identified rice mills directly for simultaneous custom milling without storage, by the District Managers, APSCSCL. Trading rice mills participating in the custom milling operations for KMS 2009-10 are declared as storage points for storage of paddy, supplied to the Rice Millers for undertaking custom milling on behalf of APSCSCL in order to create space at PPCs and IKPCs for continuous paddy purchases and for completion of entire custom milling within the time, duly giving full data ie., name of the rice mill and address, extent of space earmarked for storage. The paddy stock delivered to the Rice Mills for custom milling shall be under the joint custody of the miller and the local officer designated by the Joint Collector. Proportionate paddy stocks shall be delivered to the Rice Millers against the advance CMR delivered to the FCI, duly signed by the designated officer in the Stock Register. The Miller shall ensure the storage of the paddy stocks of the Corporation separately from that of his own purchased paddy stocks by erecting a physical barrier such as a boundary wall or a proper and durable fencing. The District Manager will also be equally responsible in respect of quantity and quality of paddy stocks stored with the miller. An acknowledgement shall be obtained from the Rice Miller for claiming storage charges with the FCI. If the miller contravenes any of the conditions of the agreement entered with Civil Supplies Corporation, he will be blacklisted and proceeded against under the provisions of law.

2.

3.

4.

5.

6.

As the IKP and APSCSCL are jointly undertaking the MSP operations, there is an imperative need to inform the farmers and IKP Groups that the release of money from the Corporation will take a maximum period of 3045 days or it can be released immediately on realization of CMR from FCI, whichever is earlier. Due to funds constraint in APSCSCL, the District Collectors should mobilize funds locally and also may arrange credit to the IKP Groups under "Pavala Vaddi Scheme" for initial working capital, to make payments to the farmers by the IKP immediately in between the period of adjustment of funds from the day of procurement of paddy to the day of delivery of CMR to the FCI and the release of funds to the District Managers, APSCSCL. The District Managers, APSCSCL shall make payment of cost of paddy to the PO, DRDA immediately after realization of cost of CMR from the Food Corporation of India. The District Collectors should personally ensure that the overall operating cycle is brought to bare minimum so as to bring the conversion costs down and minimize the working capital. The discussions with the local Rice Millers and binding them over to such deadlines should be part of this engagement. after

7.

8.

9.

10. Reconciliation of Paddy Account shall be done immediately movement of paddy to the Rice Millers from the PPCs / IKPCs.

11. Commission to the Societies shall be paid @ 2.5% on the MSP value of stocks procured by the IKP Groups after completion of reconciliation of paddy purchases and transportation of stocks between IKP Groups and APSCSCL and certificates to that effect received from the DRDA, after realization from the FC!. 12. Joint Collectors shall closely monitor and ensure realization of CMR cost from FCI for the paddy purchased from the farmers, as stipulated in the GO MS.No.56 CA, F & CS(CS.I) Dept., dtd.30.10.2009.

Sd/- Sanjay Jaju, COMMISSIONER OF CIVIL SUPPLIES AND EX.OFFICIO SECRETARY TO GOVERNMENT To All the District Collectors. The Chief Executive Officer, SERP., Hyderabad. The General Manager (A.P.Region), Food Corporation of India, Hyderabad. The VC & Managing Director, A.P. State Civil Supplies Corporation Ltd., Hyderabad. All the Joint Collectors and Ex.Officio Executive Directors, APSCSCL. All the District Supply Officers / District Managers, APSCSCL.

//Attested/

10
~ AOOL. 01 CTOR(PROC.)

GOVERNMENtOFANDHRAPRADESH ABSTRACT Civil Supplies - Procurement Policy of paddy and rice for Kharif Marketing Season 2009-10 - Orders-Issued.

CONSUMER AFFAIRS, FOOD AND CIVIL SUPPLIES (CSI) DEPARTMENT. G.O. Ms. No.56 Dated: 30 .10.2009 Read the following: 1) G.O.Ms.No.40 Consumer Affairs, Food and Civil Supplies Department dated 13.10.2008. 2) The A.P. Rice Procurement (Levy) Order, 1984 issued in G.O. Ms. No. 28, F & A (CS.I) Dept., dt. 25-1-1984 as amended from time to time. 3) Lr. No. 6-1/2009 dated 31.8.2009 of Ministry of Agriculture (Department of Agriculture and Cooperation )Directorate of Economics and Statistics. Krishi Shavan, New Delhi. 4) Lr. No. 8-9/2009-S&1 dated 11.8.2009 of Govt. of India, Ministry of Consumer Affairs, Food and Public Distribution, Department of Food and Public Distribution, New Delhi. 5) Lr. No. 5(3)2009-Py.1 dated. 18.9.2009 of Ministry of Consumer Affairs, Food and Public Distribution, Department of Food and Public Distribution. Krishi Shavan, New Delhi. 6) Lr. No. PI(1 )/5295/2009, dated 11.9.2009 of CCS & EOS addressed to all Collectors.

ORDER; ._ In the Government order 1st read above, the procurement Marketing Season 2008-09 was communicated. 2. The following orders Marketing Season 2009-10. are issued as "Procurement policy for Kharif

Policy" for the Kharif

,"'!.

3. The Food Corporation of india shall be the '~Agent" of Government of Andhra Pradesh for procurement of rice under the mill levy from Rice Millers. 4. The Minimum Support 2009-10 are as follows: Prices fixed by Government of India for the KMS

Price per Quintal of Fair Average Quality of paddy Grade "A' Common Rs.980/Rs.950/-

These rates may vary from time to time depending upon the revision by the Govt. of India. 5. The levy procurement prices and the rates for custom milled rice for the Kharif Marketing Season 2009-10 shall be communicated separately. Pending fixation of procurement prices for rice to be delivered in Kharif Marketing Season 2009-10, the Food Corporation of India shall pay procurement prices of KMS 2008-09, subject to adjustment of the difference between the procurement price of 2009-10 and 2008-09 later. If the amount paid is less, the F.C.I. will pay the difference to the miller. If the payment made is more. it will be recovered from the miller. 6. FAQ specifications for paddy and rice are enclosed (Annexures I & II).

7. Operational guidelines for MSP operations for paddy during Kharif Marketing Season 2009-10 shall be the same as was communicated vide G.O.Ms.f'>Jo.38 Consumer Affairs, Food & Civil Supplies (CS.I) Department dated 24.9.2007 with

l(

--

---modifications if any, communicated from time to time, except in respect of MSP. The MSP for Kharif Marketing Season 2009-10 shall be as indicated at para 4 above. 8. The levy and levy free shall continue to be 75% and 25% respectively. The rice millers / dealers shall be eligible for sale of 25% of levy free eligibility which they may utilize in 2: 1 ratio between sale within the State and anywhere in the Country (including A.P.) i.e. two lorries of consignments within the State and one lorry of consignment outside the State. The above ratio shall be applicable in respect of raw rice levy free eligibility only. In respect of boiled rice the rice millers / traders shall be permitted to utilize entire 25% either within the State or outside the State (any wherein the Country). The rice millers / dealers shall obtain Release Certificates for movement of levy free rice. The rice millers / dealers, who purchase the paddy, mill, deliver levy and utilize the levy free eligibility, shall maintain all the transactions in B - Register. The details of Paddy purchased, paddy milled, levy delivered and levy free eligibility utilized shall also be indicated therein. The rice millers / dealers, who do not trade either in paddy / rice and do custom milling / hire working of paddy of farmers and agriculture labourers or State Agencies shall maintain the record in A - Register. The rate of value cut for purchase of Non - FAQ Paddy by the rice millers / dealers shall be as indicated in Annexure-III. The rice millers / dealers shall not purchase Paddy of FAQ at prices lower than the MSP as indicated in clause 4- A of the A.P. Rice Procurement (Levy) Order, 1984. 9. The millers shall purchase paddy at the regulated markets, notified markets, godown points including CWC & SWC godowns and rice mill premises as declared by the Marketing Department for the purpose of purchase of paddy. The millers can also purchase paddy at farm gate keeping in view the condition 23 of the operational guidelines for KMS 2007-08. 10. The Food Corporation of India and the A.P. State Civil Supplies Corporation Ltd., shall make arrangements for procurement of 7.50 Lakh MTs of paddy each in Kharif and Rabi Season in the districts allotted to them by the Commissioner of Civil Supplies. The MSP operations for Kattera paddy (early crop) shall commence immediately. 11. (a) The procurement of paddy by the FCI and the AP State Civil Supplies Corporation under the MSP operations shall be done with the help of Women Self Groups of IKP / DCMS / PACSs and on their own in all the paddy growing districts as per the districts allotted to them by the Commissioner of Civil Supplies depending upon the availability of experienced and activeSf-l.G.s / DCMS / PACSs as mutually decided by the Managing Director, AP. State Civil Supplies Corporation Ltd, Managing Director and Chief Executive Officer, SERP. Whenever it is felt necessary, the AP Markfed can also be entrusted with the procurement of paddy under MSP operations. Based on such decision, the target given to the A.P. State Civil Supplies Corporation Ltd. can be distributed among the APSCSCL, A.P. Markfed and other State agencies. The procedure for the operations, transportation, storage, milling delivery etc., will be worked out, depending on the decision on handling by SERP (IKP Groups) whether independently or through A.P. State Civil Supplies Corporation Ltd. This procedure is expected to benefit the small and marginal farmers to sell their produce at village level and to save the expenditure and mitigate the problems in transportation of paddy to AMCs and consequent handling at the Market Yard besides reducing the congestion at Market Yards. 12. The Rice Milling Industry shall deliver 62 lakh tonnes of levy rice to F.C.I during Kharif Marketing Season 2009-10, (i.e., from 1st October, 2009 to 30th September, 2010) i.e. a quantity of 37.00 (Thirty Seven) Lakh MTs of raw rice and 25.00 (Twenty Five) Lakh MTs of boiled rice. This performance expectations are indicated based on the existing rice production prospects of Kharif and this can be revised upwards depending upon the production prospects of rice in Rabi season. It is decided that in Kharif season a performance expectation of 30 lakh tonnes of raw rice and 13 lakh tonnes of boiled rice will be communicated to the rice millers in the State. 13. The rice Millers / traders shall deliver 75% of the rice milled pertaining to all varieties other than superfine preferred varieties to the FCI under mill levy. The Commissioner of Civil Supplies may however review the performance vis a vis the performance expectation from time to time and depending upon the need to step up

\2...

the procurement of rice to meet the requirements of PDS, may permit delivery of raw rice to the FCI upto 100% subject to maintaining the levy percentage at 75% treating the State as a Unit. 14. The superfine preferred varieties rice shall be sold within the State only as this has a good demand from the public and the available rice of these varieties meets only a part of the demand. There shall be no need to obtain any permit for movement from one district to another for superfine preferred varieties rice within the State except for the districts of Nellore and Chittoor. The movement of superfine preferred varieties of rice to Nellore and Chittoor districts shall be on special permits only.

15. The rice millers shall also be required to sell Superfine (preferred) varieties to the APSCSCL as per the quantity indicated ana at the price as may be decided after negotiations so as to enable the APSCSCL to supply the same to the card holders at affordable price through special counters with a view to keep the price of these varieties of rice under control.
16. i) The Commissioner of Civil Supplies is authorized; to fix district-wise performance expectation of raw rice and boiled rice for delivery under mill levy to FCI, depending upon the production of paddy, rice milling capacity and the past performance in consultation with the representatives of the Rice Millers Association, A.P., Food Corporation of India and the A.P. State Civil Supplies Corporation Ltd keeping in view the requirement of A.P raw rice for P.D.S. and other welfare schemes. The Collectors shall distribute the same among the district rice millers in consultation with the District Rice Millers Association and in such a way that there is a ratio between raw and boiled rice deliveries so that more boiled rice is not delivered in preference to raw rice and there is no shortfall of raw rice for PDS. to revise the performance expectation from time to time, depending upon the progress in purchase of paddy at MSP, rice mill levy delivery and other priorities of the Government. to issue orders to the VC.& Managing Director, A.P. State Civil Supplies Corporation to purchase raw rice if any required locally for supplementing the needs of PDS within the State as per FAQ norms prescribed by the Government of India. The rate of purchase shall be the same as procurement rate of KMS 2009-10 as agreed by the rice millers during the discussions held on 28-08-2009. The actual quantity required shall be indicated separately. to issue orders to the Coliector(CS) for issue of release certificates for sale of levy free rice within the State expeditiously so as to make adequate quantity of raw rice available in the open market and keep the price of rice under control. This is necessary in order to ensure that while procuring required rice for Central pool for meeting PDS, the prices of rice in the open market are also kept under control. The ColleGtor(CS) may be authorized to issue the levy free permits for sale of levy free rice within the State.

ii)

iii)

iv)

v)

to continue the same procedure which is being followed during the KMS 2008-09 in respect of movement of levy free rice to places outside the State. The Commissioner of Civil Supplies, A.P. Hyderabad shall permit the movement of 1/3rd of 25% of levy free raw rice other than superfine (preferred) varieties by railway rakes only. In respect of boiled rice entire 25% boiled rice shall be allowed to be moved by railway rakes initially and after satisfying that adequate quantity of rice is procured for Central Pool during the KMS 2009-10, a decision may be taken whether movement of road can be permitted.

vi)

in respect of transfer of levy free eligibility, the Commissioner of Civil Supplies,


A.P. Hyderabad shall issue orders to the Coliectors(CS)/ Chief Rationing Officer, Hyderabad to permit the transfer of levy free eligibility within the State and outside the State by the rice millers f traders at appropriate time during the KMS 2009-10 as was done during the KMS 2008-09 .

13

17. Rice Millers / Dealers shall furnish a certificate to the purchased at MSP from the farmers duly countersigned by the Secretary and Ward Member. After verifying the details in the Levy certificates shall be issued by the District Collectors for rice millers / dealers to the F.C.I.

effect that paddy was Sarpanch / Panchayat '8' Register, the Mill delivering Levy by the

18. In respect of paddy purchases by the rice millers from other districts, the signature of the Sarpanch / Secretary of the Gram Panchayat / Ward Member, as the case may be, shall be obtained along with the seal of the Gram Panchayat and the same shall be entered in the "8" Register of the rice mill. These receipts (Rythu Vouchers) shall be accepted by the District administration and after verification in the "8" Register, certificates to deliver levy to' the F.C.I may be issued. However, subsequently, 10% of the Rythu Vouchers furnished by the rice millers shall be selected at random and sent to the T ahsildars concerned for verification and certification. In case the information furnished in the Rythu Vouchers and in "8" Registers of the rice miller is found to be not correct, action as per the A.P. Rice Procurement (Levy) Order, 1984 and as per the operational guidelines issued vide G.O. 38, CA, F&CS (CS.I) Department, dated 24.09.2007 shall be taken against the miller concerned. 19. The formats for certificates of purchase of paddy by the rice millers, traders etc. which were communicated earlier shall be adopted for Kharif Marketing Season 2009-10 also. The receipts produced by the millers / traders etc. and received from the Market Yards, Paddy Purchase Centers, notified mill points etc shall be kept under the custody of the Tahsildar concerned for verification in due course or as and when operationally necessary. 20. There shall be no Objection for accepting raw rice from the boiled rice mills, as the boiled rice mills can produce raw rice. However, there shall not be any acceptance of boiled rice from the raw rice mills, as raw rice mills cannot produce boiled rice. 21. The format fordelivery levy to the F.C.I. based on the certificate of purchase of paddy at MSP and above which was communicated during KMS 2008-09 shall be applicable for .KMS 2009-10 also. The FCI shall accept the levy deliveries from the individual millers / traders. 22.. The certificate for delivery of levy shall be. issued for each individual miller separately and preferably in multiples of 10 (Ten) MTs of rice. 23. Certificate Season 2009-10. should bear the' serial number for the Kharif Marketing

24. The rice millers shall obtain, on application, the Release Certificate for sale of levy free rice within the State or anywhere in the Country in the form communicated. 25. Rice under mill levy shall be delivered in 50 kg gunny bags only.

26. In respect of any dispute including quality parameters of rice between the miller and the FCI, a Committee headed by the Joint Collector and consisting of technical experts shall resolve the dispute immediately. 27. Government also order that the farmers and the Farmers' Clubs / Associations and Self Help Groups shall be allowed to mill paddy of their own or on behalf of farmers, and deliver whole or part to the Food Corporation of India at procurement prices. They shall maintain the details in the 8 - Register separately, as they are doing business of sale of rice to the Food Corporation of India. The farmer's / farmer's clubs are required to obtain Registration Certificate from Commercial Taxes Department for delivery of rice to the Food Corporation of India. While paying procurement price, the Food Corporation of India may deduct such of the taxes I fee, which are payable by the farmers on such delivery of levy rice and the Food Corporation of India shall pay such taxes / fee so deducted to the respective Departments of the State Government. 28. For accepting delivery of rice by the Food Corporation of India from the individual farmers, Registered Farmers' Clubs / Associations and Self Help Groups, a certificate issued by the Village Secretary / Agriculture Officer / Sarpanch of the village is

14

necessary with regard to cultivation of paddy and the extent of land recorded in the Pattadar Pass Book / Adangals etc. 29. The Rice Millers shall undertake custom milling of paddy, as and when the farmers bring the paddy to the rice millers, keeping in view the explanation under clause 10(1) of the A.P. Rice Procurement (Levy) Order, 1984 at the rate stipulated or on mutually agreed terms/conditions between the millers and the farmers. The Rice Millers shall undertake simultaneously the custom milling of paddy procured by the State Agencies and Food Corporation of India, as per the agreed terms and conditions and at the rates and norms fixed by the Govt. of India. The Collectors shall allot the paddy purchased at the S.H.W.G. of IKP / DCMS / PACSs centres / PPCs / Market Yards etc., to rice mills for immediate custom milling without storage of the paddy. The rice millers, within 15 days from the date of receipt of paddy, shall complete custom milling of paddy and deliver the resultant rice either as raw rice or boiled rice as prescribed by the Government or the State Agency concerned for the paddy handed over during the Kharif Marketing Season 2009-10 by the A.P. State Civil Supplies Corporation Ltd and S.H.Gs / DCMS / PACSs of IKP. The Collectors shall direct the rice millers to mill the paddy handed over to them by the State agency and deliver custom milled rice to the FCI along with the levy rice if necessary by fixing a ratio between the mill levy delivery and the custom milled rice delivery. The Collectors shall review the entire process of custom milling operations regularly and take necessary action against the rice millers, who fail to do custom milling of paddy procured by the Self Help Women Groups of Indira Kranthi Pathakam and A.P. State Civil Supplies Corporation Ltd duly following the procedure in vogue. In cases of failure by rice millers in converting the paddy to rice within the stipulated time, the Collectors shall furnish to the Food Corporation of India, the details of defaulters together with mill-wise quantities given for custom milling, quantity milled and the quantity yet to be milled so that the Food Corporation of India shall deduct the equivalent quantity of resultant rice for the paddy yet to be milled against the levy rice being delivered by such rice miller. The delivery of custom milled rice will be in addition to the target of 62 (Sixty Two) lakh tonnes of mill levy rice indicated to the State. 31. Since huge quantity of paddy is being purchased at the Paddy Purchase Centres, the Collectors shall make necessary arrangements for positioning the required number of once used gunnies I new gunnies at Paddy Purchase Centres operated by the Self Help Groups of Indira Kranthi Pathakam I DCMS / PACSs and A.P. State Civil Supplies Corporation Ltd. The Collectors shall issue instructions to all the F.P. Shop Dealers to deposit the once used gunny bag compulsorily in the empty truck, which is coming back after unloading the rice at the F.P. Shops in the respective route. The once used gunnies collected from the F.P. Shop Dealers shall be kept in the respective MLS points for safe custody. The Collectors shall fix a uniform rate in the entire district for collection of once used gunnies so that the F.P. Shop Dealers shall adhere to the instructions of the Collectors concerned. 32. In case of any delay in custom milling of paddy due to non-availability of adequate capacity of rice milling industry in the district, the paddy may be transported to the nearest district for immediate custom milling. For example, the paddy procured at Mahabubnagar district may be transported to Kurnool district or Ranga Reddy district and the paddy procured at Adilabad district may be transported to Karimnagar district or Nizamabad district for custom milling. The expenditure incurred by the A.P. State Civil Supplies Corporation shall be booked to the MSP operations of paddy and the same shall be included in the audited accounts of KMS 2009-10, so that the Govt. of India will be requested for reimbursement of the same. 33. In his reference No. MC/6053/2007 dated 20.8.2007, the Commissioner of Marketing has issued necessary instructions to all the Secretaries of AMCs to prepare a contingency plan well in advance to tackle the additional arrivals, for smooth market operations during the season to get the equipment I machinery available with the AMCs in working condition, to maintain log books for each equipment, to make a note of the usage particulars and to take into account of the equipments I machinery available with the nearby markets (Non-functional) and with IKP centres while planning for procurement of additional equipment to meet the seasonal requirement. He has also instructed that the Godown space available in the AMCs should also be kept ready for occupation and wide publicity should be given about MSP rates, equipments and godown space available with AMCs .

30.

. 15

3~ The Marketing Department shall purchase required number of moisture meters ( Best quality) to be determined with reference to the past performance and to make them available at all the Purchase Centres operated by S.H.Gs of IKPI DCMS I PACSs I PPCs I Market Yards without fail. One moisture meter should also be provided to the progressive group of farmers I S.H.Gs I Gram Panchayats to enable the farmers to check the moisture contents of the paddy before they bring the paddy to the purchase centres for sale. 3~ The Collectors shall fix uniform Hamali charges in the entire district by conducting meeting with the Hamalj Unions, Secretaries of AMCs and Procuring Agencies. The Handling Charges should include weighment, stitching and stacking I loading at PPCs I AMCs. The Hamali Charges, thus, fixed will have to be borne by the buyers of the stocks at PPCs I AMCs including the State Procuring Agencies.

36. The Collectors shall review the progress of procurement on weekly basis. The Collectors shall send weekly reports on the progress of procurement to the Commissioner of Civil Supplies as stated above. The Collectors shall also bring to the notice of the Commissioner of Civil Supplies, problems, if any, faced by them in procurement of rice including requirement of funds for items of expenditure other than cost of paddy procured by A.P. State Civil Supplies Corporation Ltd and lor any other agency so as to take immediate appropriate action in the matter. The Collectors shall constitute a District Procurement Committee with the Joint Collector as Chairman with District Level officials of all connected departments, namely, Agriculture, Marketing, Civil Supplies, Transport, DRDA, ITDA, I&PR, Warehousing Agencies (CWC, SWC), Procurement Agencies (FCI, APSCSCL) and also Sub-Collectors I RDOs as members to coordinate and decide on all the activities and monitor the work on day-to-day basis as per the operational guidelines. 3~.
The Collectors shall ensure that the enforcement officials under the A.P. Rice Procurement (Levy) Order, 1984 inspect the rice mills periodically to ensure the purchase of paddy at MSP, paddy milled, levydelivered, levy utilized etc.

3~. Wide publicity of the location of the paddy purchase centres, specifications of FAQ paddy, MSP and prescribed value cuts for the non-FAQ paddy should be given through press, pamphlets, leaflets, arid electronic media besides organizing extensive training programmes for the farmers through the Agriculture Extension Staff I Quality Control Officials out of the funds earmarked by Marketing Department in this regard and other funds available at their disposal.

3'.

'-

A copy of this order is available on the internet and can be accessed at the address- www.ap.gov.in (BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH) SAN JAY JAJU EX.OFFICIO SECRETARY TO GOVERNMENT To The Commissioner of Civil Supplies, A.P. Hyderabad. All the Collectors I The Chief Rationing Officer, Hyderabad. Chief Executive Officer, SERP, Hyderabad. The Director General, Vigilance and Enforcement Dept, Hyderabad. The Inspector General, Vigilance and Enforcement, Dept Hyderabad. All the Joint Collectors I All the District Supply Officers. The General Manager (A.P. Region), Food Corporation of India, Hyderabad, The VC & Managing Director, A.P. State Civil Supplies Corporation Limited, . Hyderabad. The Registrar Cooperative Societies, A.P. Hyderabad. Copy to: The Managing Director, A.P. State Warehousing Corporation Limited, Hyderabad. The Regional Manager, Central Warehousing Corporation, Hyderabad. The Secretary to GOI., Dept., of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution, Krishi Bhavan, New Delhi. The Prl. Secretary, Revenue(CT), Department; Secretariat, A.P. Hyd'bad. The Prl. Secretary to Agrl. & Cooperation, Secretariat, A.P. Hyderabad. The Prl. Secretary, Coop. & Marketing, Secretariat, AP, Hyderabad. The Secretary to Government., Agriculture Dept., Hyderabad The Commissioner, Commercial Taxes Dept., Hyderabad.

I~

::ANNEXURE-I:: UNIFORM SPECIFICATION OF ALL VARIETIES OF PADDY (MARKETING SEASON 2009-10 ) Paddy shall be in sound merchantable condition dry, clean. wholesome of good food value, uniform in colour and size of grains and free from moulds, weevils, (Khesari) and admixture of

obnoxious smell, Argemone maxicana, Lathyrus sativus deleterious substances.

Paddy will be classified into Grade 'A' and Common groups. Schedule of specification

============================================================
SI. No. Refractions Maximum Limits (%)

============================================================= 1. Foreign matter a) b) 2. Inorganic Organic 1.0 1.0

Damaged, discoloured, sprouted and weevilled grains 4.0 3.0 7.0 17.0

3. 4. 5.

Immature, Shrunken and shrivelled grains Admixture of lower class Moisture content

============================================================
NOTE: (i) The definitions of the above refractions and method of analysis are to be

followed as per BIS Method of analysis of foodgrains IS: 4333 (Part-l) 1996, IS : 4333 (Part-It), 2002 and Terminology amended from time to time. for foodgrains IS: 2813 - 1995., as

(ii)

The method of sampling is to be followed as per BIS method for sampling of Cereals and Pulses IS: 14818 - 2000 as amended from time to time.

(iii)

Within the overall limit of 1.0% for organic foreign matter, poisonous seeds shall not exceed 0.5% of which Dhatura and Akra seeds (Vida species) not to exceed 0.025% and 0.2% respectively.

SANJAY JAJU, EX. OFFICIO SECRETARY TO GOVERNMENT

:: ANN

EX U R E - II ::

UNIFORM SPECIFICATION FOR GRADE 'A' & COMMON RICE (MARKETING SEASON 2009-10 )

Rice shall be in sound merchantable condition, sweet, dry, clean. wholesome, of good-food value, uniform in colour and size of grains and free from moulds. weevils, obnoxious smell, admixture of unwholesome poisonous substances. Argemone

maxicana and Lathyrus sativus (Kesari)

in any form, or colouring agents and all It shall also conform to PFA

impurities except to the extent in the schedule below. Standards.

SCHEDULE OF SPECIFICATION SI. No. 1. Brokens * 25.0 Raw 25.0 16.0 Parboiled 16.0 Foreign Matter ** 0.5 Raw/Parboiled 0.5 Damaged # / Slightly Damaged grains Raw 3.0 3.0 Parboiled 4.0 4.0 Discolored Grains Raw 3.0 3.0 Parboiled 5.0 5.0 Chalky Grains Raw 5.0 5.0 Red Grains Raw/Parboiled 3.0 3.0 Admixture of lower class Raw/Parboiled -6.0 Dehusked Grains Raw/Parboiled 12.0 12.0 Moisture content @ Raw/ Parboiled 14.0 14.0 Including 1% small brokens Not more than 0.25% by weight shall be mineral matter and not more than 0.10% by weight shall be impurities of animal origin.
I

Refractions

Maximum Limit (%) Grade 'A' Common

2. 3.

4.

5. 6.

7.
8. 9. * ** # @

Including pin point damaged grains. Rice (both raw and parboiled) can be procured with moisture content upto a maximum limit 15% with value cut. There will be no value cut upto 14%. Between 14% to 15% moisture, value cut will be applicable at the rate of full value.

SANJAY JAJU, EX. OFFICIO SECRETARY TO GOVERNMENT

NOTES APPLICABLE TO THE SPECIFICATION OF GRADE 'A' AND COMMON VARIETIES OF RICE

1.

The definition of the above refractions

and method of analysis are to be

followed as given In Bureau of Indian Standard "Method of analysis for Foodgrains" No's IS : 4333 (Part-I) 1996 and IS : 4333 (Part - II) 2002" Terminology for Foodgrains" IS : 2813 - 1995 as amended from time to time. Dehusked grains are rice kernels

whole or broken which have more than 1/4 of the surface area of the kernel covered with the bran and determined as follows:ANALYSIS PROCEDURE :Take 5 grams of rice (sound head rice and brokens) in a petri dish (80X70 mm). Dip the grains in about 20 rnl. of Methylene Blue solution (0.05%by weight in distilled water ) and allow stand to for about one minute. Decant the Methylene Blue solution. Give a swirl wash with about 20 ml of dilute hydrochloric acid (5% solution by volume in distilled water). Give a swirl wash with water and pour about 20 ml. of Metanil Yellow solution (0.05% by weight in distilled water) on the blue stained grains and allow to stand for about one minute. Decant the effluent a'nd wash with fresh water twice.

Keep the stained grains under fresh water and count the dehusked grains. Count the total number of grains in 5 grams of sample under analysis. counted as one whole grain. CALCULATIONS: Percentage of Dehusked grains = N X 100 W Where N = Number of dehusked grains in 5 grams of sample W= Total grains in 5 grams of sample. 2. The Method of sampling is to be followed as given in Bureau of Indian Standard "Method of sampling of Cereals and Pulses" No IS : 14818-2000 as amended from time to time. 3. Brokens less than 1/8th of the size of full kernels will be treated as organic foreign matter. For determination of the size of the brokens average length of Three brokens are

the principal class of rice should be taken into account. 4. Inorganic foreign matter shall not exceed 0.25% in any lot, if it is more, the stocks should be cleaned and brought within the limit. Kernels or pieces of

kernels having mud sticking on surface of rice, shall be treated as Inorganic foreign matter. 5. In case of rice prepared by pressure parboiling technique, it will be ensured that correct process of parboiling is adopted i.e. pressure applied, the time for which pressure is applied, proper gelatinisation, aeration and drying before milling are adequate so that the colour and cooking time of parboiled rice are good and free from encrustation of the grains.

SANJAY JAJU, EX. OFFICIO SECRETARY TO GOVERNMENT

ANNEXURE - III SCHEDULE OF SPECIFICATIONS S.No. 1 Foreign matter a) b) 2. 3. 4. 5. Inorganic Organic 1.0 1.0 4.0 3.0 7.0 17.0 Refractions FOR FAQ PADDY Maximum limit%

Damaged, discolou red, sprouted and weevilled grains Immature, Shrunken and shriveled' grains Admixture of lower class Moisture content

RATE OF CUT FOR ACCEPTING NON-FAQ PADDY BY RICE MILLERS S.No. Rate of cut Grade A Rs. P. 1. a) Inorganic For every 1% over Permissible 1% b) Organic For every 1% over Permissible 2. 1% 9.80 9.80 9.50 9.50 Common Rs. P.

9.80

9.50

Damaged, Discoloured, Sprouted, Weevilled, Immature Shrunken and shrivelled grains For every one percent over permissible 7% ( upto 10%)

'-

3.

Moisture: For every 1% over permissible 17%

9.80

9.50

SANJAY JAJU, EX. OFFICIO SECRETARY TO GOVERNMENT

You might also like