Food ministry official also rules out increase in MSP, wonders why consumers will pay more in a glut market
The food minister said from doubling import duty to fixing a quota on the extent of sugar the mills can sell in open market, govt has tried it all
Deadline over but Rs 4,000 cr of dues remain, despite a record Rs 5,200 cr paid since CM's threat
Sugarcane payment arrears to farmers in Uttar Pradesh were Rs 5,795 crore till last Friday, despite a good price this time -- meaning the fruit of a good year for the sector doesn't necessarily go to many growers.The ongoing 2016-17 sugar season started on October 1 (it goes on till end-September). Of the Rs 5,795 crore of UP cane dues, those in the corporate sector were 92 per cent of this, at Rs 5,320 crore. About 55 per cent of all dues are owed by only four companies.Farmers are supposed to be paid for their cane within 14 days. After this, it comes under the category of dues. So far this season, Rs 16,894 crore was payable in UP; till last week, Rs 11,098 crore or 66 per cent has been. The state has 116 mills in operation -- 91 in the private sector, 24 in the cooperative sector and one of the state sugar entity.In the country as on February 1, mills owed farmers Rs 9,649 crore. After UP, another Rs 910 crore is owed in Karnataka, Rs 455 crore in Gujarat, Rs 400 crore in Tamil ..
Against total payables of Rs 18,000 cr in farmers' dues, combined payment by 117 mills was Rs 16,266 cr, or 90%
Of total payables of about Rs 14,816 crore on UP sugar units, the mills have collectively paid Rs 12,237 crore
Ram Vilas Paswan says the policy interventions by govt have shown remarkable progress in reducing arrears
With better domestic sugar prices, cane arrears are likely to it come down even further going forward, says ISMA