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LATEST NEWS UPDATES | Dues to sugarcane farmers soar to Rs.14,000 crore -Sayantan Bera

Dues to sugarcane farmers soar to Rs.14,000 crore -Sayantan Bera

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published Published on Mar 5, 2018   modified Modified on Mar 5, 2018
-Livemint.com

Payment to cane growers is considered ‘due’ when it is delayed by more than 14 days after supplying raw cane to a mill

New Delhi:
Following higher sugar production and plummeting wholesale prices, dues to sugarcane farmers from mills are piling up, shows latest numbers. According to the Indian Sugar Mills Association (ISMA), till January end, sugar mills across various states owed farmers Rs13,932 crore.

Payment to cane growers is considered ‘due’ when it is delayed by more than 14 days after supplying raw cane to a mill. ISMA’s data showed that mills in Uttar Pradesh owed farmers the most at Rs5,553 crore, followed by Karnataka (Rs2,714 crore) and Maharashtra (Rs2,636 crore).

The payment crisis can worsen farm distress in a year when farmer incomes have been stressed due to fluctuating prices of horticulture crops, and market prices of pulses and oilseeds remain below the government’s support prices.

According to ISMA, sugar production during the 2017-18 crushing season (October 2017 to September 2018) is likely at 26.1 million tonnes, about 29% more than 20.3 million tonnes a year ago.

However, domestic sugar production could touch 27 million tonnes in the current year (2017-2018), implying a staggering 33% increase year on year, ratings agency ICRA said last week. According to ICRA, domestic production is likely to exceed consumption by around 2 million tonnes in the current crushing season.

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Livemint.com, 5 March, 2018, http://www.livemint.com/Politics/qZW8oIncFpPARK88LiDYaL/Dues-to-sugarcane-farmers-soar-to-Rs14000-crore.html


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