Bhubaneswar: The Food Supplies and Consumer Welfare Department of Odisha has earmarked Rs 6,538.28 crore for food supply and paddy procurement programmes in the financial year 2026-27.
Of the total allocation, Rs 102.53 crore has been set aside for administrative expenditure, while Rs 6,435.75 crore will be spent on programme activities aimed at strengthening procurement operations and food distribution systems in the State, the department shared at a press brief on Tuesday.
The department highlighted a record achievement in paddy procurement during the Kharif Marketing Season 2024–25. More than 92.64 lakh metric tonnes of paddy were procured from 19.73 lakh farmers – the highest procurement recorded in Odisha so far. Nearly Rs 28,719 crore was transferred directly to farmers’ bank accounts towards Minimum Support Price (MSP) along with input assistance.
The State government is providing additional input assistance over and above the MSP announced by the Centre, ensuring farmers receive Rs 3,100 per quintal for their paddy. During KMS 2025-26, payments worth Rs 20,519 crore have already been credited to farmers’ accounts for the procurement of about 70 lakh metric tonnes of paddy.
To improve transparency and efficiency, the government has introduced several technology-driven initiatives, including AI-based smart grain analysers, mobile paddy cleaners, direct benefit transfer through Aadhaar-KYC and NPCI systems, CCTV surveillance in mandis, and a toll-free grievance helpline “1967”.
The government has also created a revolving fund of Rs 5,000 crore to ensure MSP payments reach farmers within 24–48 hours through the paddy procurement automation system.
In addition, the state has extended a government guarantee of Rs 17,500 crore to the Odisha State Civil Supplies Corporation Limited to facilitate loans for procurement operations. Plans are also underway to create 10 lakh metric tonnes of additional storage capacity under the Odisha State Private Entrepreneur Scheme through a public–private partnership model.
The budget also includes Rs 887.42 crore under the Public Distribution System scheme for the supply of food grains in 2026-27.
