The Indian government is not currently inclined to grant the Punjab government’s request to denotify hybrid rice variety seeds for the state. This stance follows findings that all 23 hybrid varieties released after 2015 exceed benchmark recovery standards, which require a minimum of 67 percent for milling (the conversion from paddy to rice) and 55 percent for head rice (unbroken grain). Nevertheless, the matter is expected to be discussed with the state government, according to sources.
Recently, the Punjab government wrote to the Centre urging the de-notification of all non-Basmati hybrid paddy varieties. This request aims to allow the state to regulate sales of these seeds under an existing state law.
In August 2025, the Punjab and Haryana High Court overturned the state government’s ban on hybrid paddy seeds, initially imposed in April of the previous year. However, the court permitted the state to restrict sales of any non-notified seed varieties.
Since the Centre has notified the seeds in question, it would be able to prohibit their sales once they are denotified. However, it must thoroughly assess the situation to avoid potential legal challenges from companies if the denotification lacks a valid legal basis.
Expert opinions from the Indian Council of Agricultural Research (ICAR) have been received by the Agriculture Ministry, which will discuss the situation with the Punjab government. The Punjab government’s primary concern stems from claims that some hybrid rice varieties yield lower realizations than the 67 percent threshold that millers must provide to the Food Corporation of India (FCI) after processing.
In 2024, millers protested by halting the collection of paddy from mandis, citing difficulties in segregating certain varieties from bulk purchases, which led to delays in procurement and prompted farmer protests. The Centre subsequently commissioned a study by IIT Kharagpur to investigate the lower realizations from paddy to rice.
Sources indicate that despite a threefold increase in seed costs and higher fertilizer requirements, more farmers are increasingly adopting hybrid paddy seeds due to yields that can be as much as 25 percent higher than traditional varieties. The assurance of 100 percent paddy procurement at minimum support prices (MSP) is also a significant motivating factor for Punjab’s farmers.
Published on May 8, 2026
