Rice millers’ non-compliance with new guidelines add to strain on CMR operations

Despite mandatory bank guarantees introduced for participation in CMR operations, over one-third of the 3,500 millers have yet to reconcile with these requirements

Hyderabad: The rice millers in the State have been slow to comply with the new guidelines for custom milling rice (CMR), causing disruptions right in the initial stages of the operations for the season.

Despite mandatory bank guarantees introduced for participation in CMR operations, over one-third of the 3,500 millers have yet to reconcile with these requirements. They express fears that they may face financial constraints.

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The mandatory bank guarantees have added a new layer of financial burden, causing delays in compliance. The millers are still hoping for a relaxation of this stipulation by the government. The Telangana State Civil Supplies Corporation, aiming to achieve record procurement levels due to the bumper paddy harvest this year, is feeling the strain of non-compliance by the millers.

There is a noticeable divide among millers regarding bank guarantee norms. While parboiled mills with high milling capacity have largely complied, with 667 agreeing in writing, to honour the bank guarantee stipulation . Only 992 raw rice mills of varying capacity have adhered to the guarantee requirements so far.

The Civil Supplies Corporation has already considered mills with a capacity of 57.76 lakh metric tonnes for CMR operations. But it needs more millers to join the CMR operations to meet its procurement targets.

The corporation has adopted so far a balanced approach for involving the millers in CMR operation. There is no way to go for soft pedaling with non cooperation of millers, this year, said the corporation authorities.

‘We can only help ensure smooth operations, but will have nothing to do with the financial concerns being voiced by a section of millers. The system had already equipped the corporation with powers to make use of the milling capacity of every unit to meet the needs of the state’, asserted the officials.