Odisha State Seeds Corporation estimates Profits worth ₹4.5 crore

The Odisha State Seeds corporation, which is yet to recover from the financial blows incurred in 2015-16 due to weak demand of paddy seeds by farmers, has said that it is anticipating a profit of around ₹4.5 crores in the fiscal year 2020-21.

The Annual General Meeting for the state-run seeds corporation was held on the digital mode for the first time on September 24. In the meeting, the board approved the financial statements for the year 2017-18, which recorded marginal profits to the tune of ₹23.51 lakhs. In 2019-20 however, the corporation had done business worth ₹169.31 crores and by unaudited accounts, is eyeing the possibility of a ₹4 crore profit margin.

Despite the uncertainty, the Odisha State Seeds Corporation looked upbeat about business prospects amidst the pandemic, setting a target for ₹175 crores worth of net business turnover, out of which ₹4.5 crores would be the profit target, said, director Ashok Boral.

In 2015-16, the corporation had suffered a major setback in the form of monetary losses to the tune of over ₹26 crores. This was when the Direct Bank Transfer (DBT) scheme was launched, which mandated that farmers would have to purchase the seeds at full cost instead of the option of recurring payments. The government had helped offset the loss by compensating the corporation with a stimulus of ₹7.5 crores, with a promise to clear out the balance in future.