CHENNAI: Stepping in to cushion paddy farmers from the withdrawal of Central assistance, the Tamil Nadu government on Thursday announced that it would continue subsidising the production and distribution of certified paddy seeds entirely through State funds during 2026-27.

Presenting the Agriculture Budget in the Assembly, Agriculture - Farmers’ Welfare Minister Vinoth said the Government of India had discontinued subsidy support for paddy seed production and distribution from the current financial year. However, considering the importance of quality seeds in improving productivity and responding to farmers’ demands, the State had decided to continue the programme without interruption.

Under the scheme, the government will provide a Paddy Seed Production Subsidy to farmers who register seed farms for producing 7,730 metric tonnes of certified paddy seeds, which will be supplied to the Tamil Nadu State Seed Development Agency.

In addition, a Paddy Seed Distribution Subsidy will be extended to enable the supply of 14,570 metric tonnes of certified paddy seeds to cultivators at subsidised prices ahead of the cropping season.

The Minister said ensuring the timely availability of quality seeds remained one of the government’s priorities as certified seeds play a crucial role in improving crop productivity and stabilising production. By sustaining the subsidy despite the Centre’s withdrawal, the State aims to protect farmers from higher input costs while ensuring uninterrupted access to quality planting material.

The government has earmarked Rs 34.72 crore from the State exchequer for implementing the scheme during 2026-27.