Transport, labour contractors protest tender norms ahead of procurement

As the wheat procurement season is scheduled to begin on April 1, mandi transport contractors (MTC) and mandi labour contractors (MLC) are opposing the revised MTC-MLC tender policy for 2025-26.

Key demands of Mandi contractors

- Reduce penalties for late lifting of wheat (Rs 1,000 per day to ₹100 per day)

- Extend wheat lifting time frame (48 hours to 72 hours)

- Abolish ₹1 lakh per truck security deposit

- Stop department-wide negotiations; allow only L-1 bidder negotiations

_ Compensate for transportation costs of rejected wheat

A delegation of the All Haryana MTC and MLC Thekedar Association, led by senior transporter Ashok Khurana and accompanied by Karnal MLA Jagmohan Anand, met Chief Minister Nayab Singh Saini at his Chandigarh residence on Thursday evening. They demanded amendments to the tender policy, citing stringent penalties and financial burdens. Anand supported their demands, urging the CM to resolve the issues to ensure smooth procurement.

“The transport and labour contractors’ demands should be considered positively to facilitate smooth procurement,” said Jagmohan Anand.

Following the CM’s directions, the delegation met senior officials of the Food, Civil Supplies, and Consumer Affairs Department on Friday to press for changes. They made it clear that they would not participate in the registration process for wheat handling and transportation unless their concerns were addressed.

Khurana highlighted that last year, transporters were required to lift wheat within 48 hours, failing which they faced a penalty of Rs 500 per day. In February 2025, this penalty was raised to Rs 5,000 per day, later revised to Rs 1,000 per day after protests. Contractors are now demanding the penalty be further reduced to Rs 100 per day and the lifting time frame extended to 72 hours.

“The department currently negotiates with all contractors, turning the process into a bidding exercise. This is unfair and should be discontinued. Negotiations should only be conducted with the L-1 (lowest bidder) contractor, as was previously the norm,” said Khurana.

Previously, contractors had to own at least 30% of the trucks used for wheat lifting. If they had fewer, they paid Rs 50,000 per truck as a refundable deposit. In February 2025, this was increased to Rs 1.25 lakh per truck, with only Rs 75,000 refundable. It has now been revised to Rs 1 lakh per truck, with Rs 85,000 refundable and Rs 15,000 non-refundable.

“When contractors already submit a security deposit of 10% of the contract value, the extra Rs 1 lakh deposit per truck should be abolished. This financial burden is unnecessary and increases operational costs,” said Khurana.

The delegation also raised concerns over wheat quality issues at mandis. They pointed out that commission agents (arhtiyas) often pack wet wheat into sacks due to a lack of drying arrangements. When such sacks reach warehouses, they are often rejected, leading to financial losses for contractors.

“Trucks remain parked for an entire day before rejection, and the department does not compensate for the transport costs. Authorities should reimburse transport charges for rejected wheat to ensure fair operations,” the delegation urged.

The contractors threatened to boycott the procurement process if their demands were not met, raising concerns about potential delays in wheat lifting across Haryana.