Business Standard

UP mills face cane crunch

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Virendra Singh Rawat Lucknow

The decrease in acreage may reduce sugar production by almost 2 million tonnes next year, said industry sources.

There are an estimated 4 million sugarcane farmers in the state and the total cane requirement of all the operational sugar mills is pegged at 80 million tonnes. Unless there is a marked improvement in the yield per hectare, UP sugar mills would find it difficult to get enough supply.

 

A primary survey by the state to find out the total sugarcane acreage is underway and will be completed by June 20, official sources informed.

Several reasons have been suggested for a drastic reduction in the area under cane crop this year, including the delay and confusion over sugarcane price to be paid by mills over the last couple of years.

"Besides, the foodgrain prices have become more remunerative and the farmers want to rotate 2-3 crops every year to get more returns," a cane department official said.

Due to global warming, the crop rotation timings have also changed, which is also adversely affecting cane farming.

However, a Balrampur Chini Mill official said if the yield per hectare improves due to good monsoon this year, the effective reduction in sugarcane production would be much less, say around 15 per cent.

"Even this year, sugar production has not been able to keep pace with demand. However, sugar prices are under control because the central government has kept enough buffer stock to absorb such seasonal fluctuations," he added.

Under the order of UP Cane Commissioner

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First Published: Jun 13 2008 | 12:00 AM IST

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