In the state of Tamil Nadu, procurement prices for rice and sugarcane have been increased.

Economics

The Chief Minister of Tamil Nadu, K. Joseph Vijay, announced the decision to increase the level of support for farmers, despite the current state of the regional budget. The head of government emphasized the importance of protecting the interests of farmers engaged in the cultivation of rice and sugarcane.

The changes come into effect with the start of the procurement season on September 1. For fine cultivar rice, the state incentive bonus will amount to 289 rupees per quintal, with a total procurement price of 2750 rupees per quintal. For common quality cultivars, the incentive payment is set at 159 rupees, with a final price of 2600 rupees per quintal. According to K. Joseph Vijay, this is a record annual increase in the rice subsidy, exceeding 156 rupees.

Significant changes also affected sugarcane procurement: the total procurement price was increased to 4000 rupees per tonne. The increase in the state incentive bonus amounted to 709 rupees per tonne. For the 2025-26 production year, in accordance with the rules established by the federal center, the state government will provide a special incentive payment of 709.5 rupees per tonne. The authorities noted that in the first year of implementing these measures alone, the amount of the special incentive grew by 360.5 rupees, which significantly exceeds the growth rate of the indicator over the previous five years.

Representatives of the administration assured that the state government intends to continue providing support to the agricultural sector and the development of rural areas.