Farmers may get lower returns due to reduced recovery percentage
Sugarcane crushing in Gujarat is pegged at around 12.6 million tonne this year, up by nearly one million tonne from the last year, industry sources informed. However, the recovery from the sugarcane is believed to remain lower this year over last year, mainly on account of the poor quality of cane and longer duration of the crushing season.
"The cane crushing by the state cooperative societies will see a rise this year, but the recovery from cane crushing may fall below 10 per cent this year. This is mainly because of the poor quality of cane and extended crushing season," said Mansinh Patel, president, Federation of Gujarat State Cooperative Sugar Factories (FGSCSF).
As per the government data, recovery percentage from sugarcane crushing was 10.4 per cent in 2008-09. For the year 2009-10 the recovery was estimated at around 10.8 per cent.
"The sugarcane crushing by the 18 cooperative sugar societies in Gujarat in the current year is estimated to be around 12.6 million tonne, which has jumped by one million tonne over last year. However, the recovery will remain lower this year," said Dilip Bhakta, chairman of Madhi Sugar Cooperative adding that the extended crushing season caused a reduction in the recovery.
Usually, the crushing season ends by April, depending upon the cane output. But with uneven weather this year, the crushing activity continued till May end. The area under sugarcane cultivation is believed to be around 2.5 lakh hectares in Gujarat.
"Even as the cane production has remained robust this year, the reduced recovery from crushing has lowered the returns for farmers. This year cane farmers may get returns in the range of Rs 1,900 to Rs 2,200 per tonne of sugarcane against Rs 2,400 to Rs 2,500 per tonne last year. However, final figure is yet to be announced as the crushing at some mills is still on," Bhakta informed.
Meanwhile, sugar production in the state is estimated to remain stable as compared to last year at around 1.2 million tonne, while molasses production is expected to be around 500,000 tonne in the current year.
In Gujarat 100 per cent sugar supply comes from cooperative societies. The cooperative sector controls nearly 60 per cent of the total sugar supplies in the country. Apart from Gujarat, Karnataka, Maharashtra, Andhra Pradesh, Karnataka and Tamil Nadu are among the leading states having active sugar cooperative societies sector.
