Fri Mar 21 14:20:01 UTC 2025: ## Tamil Nadu to Increase Paddy Procurement Price to ₹2,500 per Quintal
**Chennai, March 21, 2025** – The Tamil Nadu government will increase the procurement price for paddy to ₹2,500 per quintal, Agriculture Minister M.R.K. Panneerselvam announced in the state Assembly on Friday. This represents an increase from the current rate of ₹2,450.
The announcement came during the debate on the 2025-26 Agriculture Budget. The Minister also highlighted that ₹5,279 crore in insurance compensation has been disbursed to affected farmers, and 23.68 lakh free electricity connections have been provided.
Mr. Panneerselvam attributed the state’s agricultural success to favorable weather conditions and government initiatives, citing cultivation even without the Mettur dam opening last year. He emphasized the government’s engagement with farmers, noting 28 consultations with approximately 4,400 farmers, resulting in the resolution of 1,166 demands. The new budget also includes the establishment of 1,000 Chief Minister’s Farmers Service Centres.