Chennai:
Facing mounting public pressure over soaring kitchen expenses, the Tamil Nadu government has issued strict stock limit regulations under the Tamil Nadu Paddy/Rice (Stock Limit) Control Order, 2026 and the Tamil Nadu Tur and Urad Pulses (Storage Control) Order, 2026.
To curb hoarding and stabilise supplies, the new orders mandate that wholesalers are permitted to stock only 2,000 MT of paddy/rice and 200 MT for each variety of tur and urad pulses. Retailers are permitted to stock only 8 MT of paddy/rice for each retail outlet and 5 MT for each variety of tur and urad pulses. Big chain retail shops are permitted to stock only up to 8 MT of paddy/rice per outlet and 5 MT of tur and urad per pulse at each retail outlet, alongside 200 MT at each depot.
Similar strict limitations apply to processors and millers. Rice millers are restricted to not more than one month’s production capacity, while pulse millers are permitted to hold only the last 3 months’ production or 25% of their annual installed capacity, whichever is higher. Rice processors are limited to 60% of their Monthly Installed Capacity (MIC) multiplied by the remaining months until January 2027. Meanwhile, importers of both rice and pulses are prohibited from holding imported stock beyond 45 days from the date of customs clearance.
The stock limits follow a series of market intervention measures announced by the Tamil Nadu government last month in October to ease household budgets. Those initiatives included selling fine-variety rice at a highly subsidised rate of Rs 30 per kilogram through cooperative and Amudham outlets – after open market retail prices surged to Rs 75 to Rs 85 per kg – alongside ramping up the supply of tur dal at Rs 130/kg and maintaining onions at Rs 35/kg through cooperative networks.
Entities holding stocks exceeding the newly prescribed limits have until November 16, 2026, to bring them down to the legal thresholds, and mandatory declarations must be regularly updated on the Department of Consumer Affairs portal.
Defending the state’s measures amidst the ongoing controversy, a senior officer from the Department of Co-operation, Food and Consumer Protection in Tamil Nadu told NDTV, “The aim is to ensure adequate availability at nominal prices – both rice and pulses across Tamil Nadu.”
The intervention comes as the ruling TVK administration completes six months in office amid intense political criticism for failing to check the steep price rise of essential commodities, particularly rice, sugar, and pulses.
Adding to the political heat, Tamil Nadu recorded the highest inflation of 7.29 per cent in October against a national average of 6.09 per cent, with rural areas hit even harder at 7.86 per cent compared to the 6.63 per cent national rural average.
