Farmers oppose early sugarcane crushing, seek higher sugar and ethanol prices
Farmers’ organisations in Maharashtra and Karnataka oppose the Centre’s push for early sugarcane crushing, warning immature cane could cut yields and sugar recovery, causing losses. They seek compensation, higher sugar and ethanol prices, while a meeting with Food Minister Pralhad Joshi is scheduled for October 12.
Pune: Farmers’ organisations in Maharashtra and Karnataka are opposing the government’s push for early sugarcane crushing to ensure adequate sugar availability during Diwali, demanding compensation for lower recovery and higher prices for sugar and ethanol before mills begin operations, The Economic Times reported.
Farmer groups have urged sugar mills and growers not to start harvesting and crushing until their demands are addressed. They said crushing immature sugarcane could reduce cane output and sugar recovery, resulting in financial losses for both farmers and mills.
Union Food and Consumer Affairs Minister Pralhad Joshi has called a meeting on October 12 to discuss the demands raised by the farmer organisations.
Farmer leaders said an increase in the minimum selling price of sugar and higher ethanol prices would improve mills’ ability to pay farmers more for sugarcane.
“Why should the farmers and the mills suffer losses just because the government wants to increase sugar availability for the festival season,” a farmer leader said.
According to the farmer leader, crushing immature cane could reduce output by six tonnes per acre, resulting in a financial loss of around Rs 20,000 per acre. Early crushing could also lower sugar recovery, as the sucrose content of sugarcane generally increases after November, he said.
India has shifted from being a sugar exporter to an importer over the past six months after production estimates fell short and exports reduced domestic stocks, pushing sugar prices to historically high levels.
As part of measures to control prices and improve domestic availability, the Centre has asked sugar mills to advance their crushing operations by about a month.
Farmer organisations last week protested outside Minister Pralhad Joshi’s residence in Hubballi, seeking compensation for losses linked to early crushing.
Farmer leaders claimed that nearly half of India’s sugar is produced by mills located on both sides of the Maharashtra-Karnataka border, regions that are currently facing drought conditions.
They also warned that lower sugar recovery this season could affect farmers’ returns in the following year because the Fair and Remunerative Price (FRP) of sugarcane is linked to sugar recovery.
Sugar mills could also face losses if recovery falls below the prescribed level, as they are required to pay the minimum FRP applicable to 10.25% recovery even when their actual recovery is lower, farmer leaders said.
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Source : ChiniMandi