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LATEST NEWS UPDATES | Sugarcane dues: A Maha-Glut problem -Parthasarathi Biswas

Sugarcane dues: A Maha-Glut problem -Parthasarathi Biswas

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published Published on Jul 19, 2019   modified Modified on Jul 19, 2019
-The Indian Express

While the Devendra Fadnavis government in Maharashtra can claim satisfaction for doing everything possible to ensure payment by mills — and before state polls, hardly three months away — that sentiment isn’t really echoed on the ground.

Pune: Maharashtra’s Assembly elections are due in October, which is also when the next 2019-20 sugar season takes off. “The current unpaid dues to our cane growers will be cleared well before that,” says Shekhar Gaikwad, the state’s sugar commissioner, who has issued 74 recovery orders against 58 mills this year.

That threat — of auctioning the properties of the defaulting mills and recovering their cane dues as arrears of land revenue — has seemingly worked. As on July 15, Maharashtra’s mills had paid Rs 22,367.53 crore out of the Rs 23,173.29 crore of dues to growers, based on the fair and remunerative price (FRP) of cane fixed by the Centre for the 2018-19 sugar year (October-September). It translates into arrears of Rs 805.76 crore or 3.5 per cent.

These figures are much better compared with the other big sugar state, Uttar Pradesh. Mills there had, until July 12, made payments of Rs 23,819.98 crore, as against the Rs 33,036.54 crore value of cane at the state government’s “advised” price for 2018-19. The arrears, thus, worked out to a whopping Rs 9,216.56 crore or 27.9 per cent, with very little signs of their being discharged before the coming crushing season.

While the Devendra Fadnavis government in Maharashtra can claim satisfaction for doing everything possible to ensure payment by mills — and before state polls, hardly three months away — that sentiment isn’t really echoed on the ground.

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The Indian Express, 18 July, 2019, https://indianexpress.com/article/india/maharashtra-sugarcane-farmers-problem-sugar-mills-5834843/?fbclid=IwAR3e27mTLWad2jTxeUAclUkgCBEbnfvXY3yVcQ2XLNaTEla6n_CriUYZ7


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