Shift to Private Trading Raises Concerns as 56,000 Kendu Leaf Collectors in Chhattisgarh Yet to Receive Bonus Amid Increased Trader Activity

Malkangiri, May 02:: There is a provision that if kendu leaves are sold at government procurement centers, collectors receive bonuses along with items like umbrellas and footwear.
In Malkangiri district, an amount of ₹460 per collector was paid in December 2025. However, due to unnecessary delays in the payment of bonuses, collectors are now selling their kendu leaves to traders from Chhattisgarh. In areas like Padia and Kalimela, Chhattisgarh traders have set up private procurement centers and are purchasing kendu leaves at higher prices. Since they are buying at around ₹6 per bundle, collectors are turning away from government centers.
It is alleged that Panchayat PEOs and Sarpanches are issuing certificates to open private procurement centers in exchange for money. As a result, forest department officials are concerned about meeting the government’s collection targets. While private centers offer immediate payment, collectors have to wait for payment at government centers.
If the Forest Department conducts raids at these privately opened centers at the Panchayat level, many irregularities are likely to come to light. Some private traders have reportedly obtained certificates from multiple Panchayats and are continuing their business.
There are around 56,000 kendu leaf collectors across 111 Panchayats in Malkangiri district. Six forest ranges—Malkangiri, Kalimela, MV-79, Mathili, Balimela, and Kotameta—are involved in procurement. This year, the target is to procure over 5 crore bundles, with an estimated value of ₹8 crore. However, as the 2025 bonus has not yet been paid, collectors have decided to sell their produce at private centers this year.
There are about 400 government procurement centers in the district. The government rate is Rs3.20 per bundle, while private centers offer between ₹4 and ₹6 per bundle. In 2024, collectors received a bonus of 80 paise per bundle. Since the 2025 bonus has not been paid, there is uncertainty about the expected bonus amount this year.
Forest Department Worried About Target Fulfillment
Due to these issues, collectors are increasingly inclined to sell their kendu leaves at private centers instead of government ones. Taking advantage of administrative negligence, private procurement centers are rapidly expanding across many Panchayats. After paying ₹401 and obtaining certificates, private traders are freely opening centers and purchasing kendu leaves at higher rates, drawing collectors away from government procurement systems.