Sugar stock checks start at malls, godowns & premises of bulk consumers in Maharashtra
Maharashtra has launched inspections of sugar godowns, malls and bulk consumers to curb alleged hoarding and enforce stock limits amid elevated prices. Factory-gate prices eased to around ₹5,450 per quintal, while millers blamed trader stockpiling and farmers’ leader Raju Shetti called for an investigation into sugar stocks and possible smuggling.
Kolhapur: Govt teams on Tuesday began inspecting godowns, malls and premises of bulk consumers in Maharashtra as part of a crackdown on alleged hoarding of sugar, even as wholesale prices showed slight signs of easing after weeks of steep increases.
The inspections are being carried out by district supply departments to verify whether traders and bulk consumers are complying with stock limits prescribed by govt.
Under the rules, bulk consumers requiring more than 10 tonnes of sugar a month cannot stock more than half of their monthly requirement. Officials conducted inspections at malls and commercial establishments in cities including Solapur and Chhatrapati Sambhajinagar. In one retail mall in Solapur city, authorities found stocks to be within the permitted limit.
“Clear instructions have been issued that sugar sellers and suppliers must not hold stock for more than 15 days. To strictly monitor this, 15 special teams have been appointed in the district. These squads can conduct surprise raids at any moment to inspect the stocks. Strict immediate action will be taken against those found with excess or illegal stock,” stated Solapur district supply officer Omkar Padole.
The action comes amid concerns over soaring sugar prices. On Tuesday, factory-gate sugar prices slipped further to around Rs 5,450 per quintal, though retail rates remained high in several markets.
Some retailers have begun restricting purchases to prevent panic buying and hoarding. “We found that some customers were buying 20kg to 50kg of sugar. Regular customers complained that sugar was becoming difficult to get. We, therefore, capped purchases at 10 kg per customer. This will discourage hoarding and reselling for profit. Most ordinary customers buy only one or two kg at a time,” a Kolhapur retailer said.
Meanwhile, sugar cane farmers queued up outside Siddheshwar Cooperative Sugar Factory in Solapur to collect their shareholder quota sugar, which is being sold at Rs 27 per kg.
Millers blame hoarding
Private sugar mills have blamed traders and wholesalers for the sharp spike in sugar prices. B B Thombare, president of the West India Sugar Millers’ Association, said fears of lower sugar cane availability following below-normal rainfall prompted large traders to stockpile sugar.
“With rainfall estimated to be 10-12% below normal and concerns over sugar cane availability in the next season, large traders aggressively increased purchases in July. As a result, sugar prices rose from Rs 4,300-4,500 per quintal to around Rs 6,500 per quintal within a month. The main reason for this surge was large-scale hoarding in anticipation of higher festival-season prices,” Thombare said.
He added that private sugar mills are prepared to begin crushing operations by mid-Oct, which would increase supplies and help cool prices.
Raju Shetti suspects smuggling
Farmers’ leader Raju Shetti questioned the sudden rise in prices and called for an independent investigation into sugar stocks and movement.
“At the start of the last crushing season, there were about 48 lakh tonnes of sugar in stock and nearly 300 lakh tonnes were produced thereafter. Despite this, prices rose sharply. There is a strong possibility that large quantities of sugar were smuggled to neighbouring countries such as Bangladesh,” Shetti alleged.
He demanded a thorough inquiry into the factors behind the price surge and said growers should also benefit from higher sugar prices under the revenue-sharing formula.
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Source : The Times Of India
