Centre asks K'taka to submit audit report for clearing Rs 954 cr procurement dues

The Centre today asked the Karnataka government to submit audit reports on procurement of paddy and other crops at minimum support prices to receive pending dues of Rs 954 crore.

Karnataka Chief Minister H D Kumaraswamy today called on Union Food Minister Ram Vilas Paswan here to discuss pending procurement dues.

"The MSP procurement bill of Rs 954 crore is pending with the central government because some clarification required from the state. Paswan has assured me that the matter will be resolved at the earliest," Kumaraswamy told reporters after the meeting.

Paswan informed Kumaraswamy that the Centre will clear the pending dues of Rs 954 crore only after the state government submits the final audit report on procurement of paddy and other crops at MSP.

Kumaraswamy assured that state government officials will come next week and clear all queries sought by the Union Food Ministry on the matter.

In the meeting, Paswan told the chief minister that the pending dues will be cleared and asked the state to submit the final audit report on the purchase of paddy and other crops at MSP undertaken since 2013-14 fiscal.

The state government also demanded the Centre to allow procurement of maize under MSP during 2018-19 without putting a condition of distributing the same under the public distribution system (PDS) in the state.

Paswan said that the state government can approach the Union Agriculture Ministry for procurement of maize under the Price Support Scheme (PSS).

He also mentioned that the procurement bill of maize is cleared only if the commodity is consumed via PDS.

The state chief minister mentioned that there is likely possibility of huge arrival of maize in view of substantial hike in the MSP.

The state has sown maize in 1.29 lakh hectare and expecting production of 2.12 lakh tonnes in 2018-19.