The long-awaited amendment to the Sugar Development Fund Act, 1982, has come into effect from June 21, providing sugar mills reimbursement for transport and freight charges on export shipments.
The Centre has also notified the Sugar Development Fund Rules, 1983, providing for the manner in which such reimbursements will be made. In another move, the government has said the free-sale quota of sugar for the July-September quarter would be released monthly as a one-time measure instead of quarterly.
According to the notification, for the distance from the sugar factory to the nearest loading railhead, the transportation rates will be on the basis of the Sugar (Price Determination for Production) Order of the relevant season.
The release said the reimbursement for expenditure on internal transport and freight would be restricted to:
