Bhubaneswar: Odisha govt has ordered a probe into allegations of losses faced by farmers in five districts after a Secunderabad-based seed company allegedly failed to pay compensation following the failure of hybrid paddy crops grown under its seed-production programme over the past two seasons.According to farmer representatives, the company engaged around 600 cultivators in Boudh, Cuttack, Puri, Jajpur and Bhadrak districts for hybrid paddy seed production during 2023-24 and 2024-25. Besides, another 60 farmers in Boudh cultivated the seeds In 2023-24, but the crop failed.“When farmers sought compensation, the company assured them it would be paid in the next crop season. Company officials and farmer organisers held a meeting in Secunderabad on Sept 11, 2024. We trusted them and took up cultivation again in the 2024-25 season,” said Prasanna Kumar Rout, a farmer organiser from Jajpur.Around 600 farmers in Cuttack, Puri, Jajpur and Bhadrak received seeds for the 2024-25 season. Rout alleged that although the company collected farmers’ signatures on agreements, it did not return signed copies despite repeated requests.Maheswar Behera, a farmer organiser from Bhadrak, alleged that the crop failed again because the company had not conducted adequate research before supplying the seeds. “It was not the farmers’ fault. The company did not pay compensation even after taking whatever seeds were produced,” Behera said.Rout said the company paid Rs 25,000 per acre as advance, while farmers spent about Rs 48,000 per acre on cultivation apart from land and labour cost. The farmers and organisers later approached the state govt seeking intervention.The agriculture department has issued a reminder to the chief district agriculture officers of Bhadrak, Puri and Cuttack, asking them to submit factual reports on complaints of non-payment of compensation by the company for crop loss and poor seed production during the 2024-25 rabi season.In a letter dated July 13, the directorate of agriculture and food production directed the officers to inquire into the allegations and submit reports. The agriculture and farmers’ empowerment department said earlier communications sent on Feb 24, May 21 and June 5 had not received responses.“Farmers claimed the company had promised compensation of Rs 60,000 per acre in case of low production or crop failure, but the farmers alleged that they did not get any compensation from the company. Further action will be decided after reports are received from the districts,” read the letter to the chief district agriculture officers.


