Delay in cane payments: Sugar mills given May 20 deadline to clear FRP dues
Pune: Several sugar mills in the state have failed to pay the full Fair and Remunerative Price (FRP) to farmers even days after the crushing season ended, raising concerns among growers.
In response, the Sugar Commissioner held a hearing with mills that have pending dues and directed them to deposit the remaining payments into farmers’ bank accounts by May 20. Mills have been warned that recovery action will be initiated if they fail to meet the deadline, Lokmat reported.
Officials said many mills are yet to clear FRP payments, with reports also highlighting that Omkar Sugar Group has outstanding dues worth crores. The delay has affected a large number of farmers, prompting them and several leaders to approach the Commissioner’s office.
At the hearing, representatives from more than 50 sugar mills were present. The Commissioner instructed all of them to ensure that pending payments are cleared within the given time frame.
Industry experts said the situation has arisen due to slow sugar and ethanol sales, which have impacted the financial condition of mills. They added that the lack of an increase in sugar prices by the central government has further added to the pressure, making it difficult for mills to pay farmers within 14 days of cane supply.
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Source : ChiniMandi
