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Aska sugar mill raises cane procurement price

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BS Reporter Kolkata/ Berhampur
Last Updated : Jan 20 2013 | 2:43 AM IST

It’s sweet news for the sugarcane growers in Orissa. The Aska Cooperative Sugar Industries Limited (ASIL), the oldest sugar factory of the state in cooperative sector located at Aska in Ganjam district has decided to pay Rs 210 per tonne more to the cane farmers this year.

The farmers will get Rs 2,210 per tonne of sugarcane if they supply their produce to the factory. In addition, the authorities have also decided to pay transport subsidy to the farmers for hauling of cane from a distance beyond 10 km to the factory.

Last year, the factory authorities had fixed the price of the sugarcane at Rs 2,000 per tonne besides paying the transport subsidy.

The decision was taken at the sugarcane price fixation committee meeting held at Chhatrapur on Wednesday evening where district collector and the chairman of the managing committee of ASIL Krishan Kumar presided. Besides the factory officials, the representatives of the Ganjam district sugarcane growers’ association were attended the meeting.

Sugarcane growers’ association had demanded increase in the sugarcane price to Rs 2,500 per tonne this year on the ground of spiraling input costs. The representatives of the association however agreed with this price after a long discussion.

The price of the sugarcane offered by ACSIL is higher than the Fair and Remunerative Price (FRP) fixed by the Central government for the year of 2011-12. The FRP of sugarcane fixed by the Center this year is Rs 1,450 per tonne at 9.5 percent recovery. Besides there is provision of an additional amount Rs 15.30 in every increase of 0.1 percent recovery, sources said.

“We have decided to increase the price of the sugarcane by Rs 210 per tonne considering all aspects,” said district collector. At the same time, the industry authorities also stressed on increasing the sugarcane production by at least 50 per cent in the coming year.

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The factory authorities have set a target to crush around 1.65 lakh tones during in the current crushing season against the last year’s 81,923 tonnes. “Next year, we want to crush around 2.40 lakh tonnes with extention of the sugarcane area to around 9,500 acres from 7,282 acres presently,” said the cane manager of the factory, PC Padhy.

Sugarcane growers, however, said it could be achieved only when the administration ensures to supply the irrigation facilities. “Sugarcane cultivation is worst affected this time due to prevailing dry spell for long period. The farmers are now worried over drought situation,” said general secretary of the association Samir Pradhan.

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First Published: Nov 25 2011 | 12:30 AM IST

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