Categories: Business

ram vilas paswan asks sugar mills to clear cane arrears to farmer


sugarcane arrears

new Delhi. Food Minister Ram Vilas Paswan said on Monday that the cane arrears of farmers have reached about Rs 22,000 crore in the current session. He has asked the sugar mills to pay the dues soon to improve the cash position of farmers in this crisis of corona virus epidemic. Paswan along with the officials of his ministry reviewed the situation of sugarcane arrears and directed the secretary to submit a report suggesting ways to reduce the arrears.

"During the 2019-20 season (October-September), sugar mills owed a total of Rs 72,000 crore to sugarcane purchased from farmers," Paswan told PTI. Out of this, maximum amount has been paid and the remaining approximately Rs. 22,000 crore has been left. We are asking mills to dispose of it as soon as possible. "He said that the arrears include the fair and remunerative price (FRP) set by the Center, and the State Advised Price (SAP) set by the states. He said that the year 2019- Of the Rs 22,000 crore outstanding for the 20 sessions, about Rs 17,683 crore is based on FRP rates, while the rest is based on SAP rates. The minister said the sugar mills still owe Rs 767 crore for the 2018-19 season , And he has asked the sugar mills to dispose of it in this session itself. Paswan said that with the encouragement given by the Center, the export of sugar is going on at a better pace during the year 2019-20, due to which the sugar mills are farmers. The sugar mills have contracted to export 48 lakh tonnes of sugar against the mandatory export quota of 6 million tonnes for the current season. Out of this, 4.3 million tonnes of sugar has been exported. Paswan Said, "This is a very good sign as India was able to export only 37 lakh tonnes of sugar in the last session. We hope that the income from exports will help the sugar mills to settle the sugarcane arrears of the farmers. "Other options to help sugar mills facing cash crunch to eliminate sugarcane arrears are also in the review meeting. Discussed, but nothing has been decided yet. Paswan said that the Food Secretary has been asked to submit a report in this regard. As per the government data, the sugar mills have so far in the 2019-20 sugar season Has produced 27 million tonnes of sugar, which is less than the production of 31 million tonnes in the previous year.

This post was published on June 9, 2020 12:17 am

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