Karnataka : Factories imposing up to 8% wastage cut, Haveri sugarcane growers bitter
Sugarcane farmers in Karnataka allege sugar mills are illegally deducting up to 8% per tonne as “wastage,” causing heavy financial losses. Siddalingappa Kalkoti reported a Rs 1.18 lakh loss in 2024 alone. Minister Shivanand Patil confirmed no such rule exists and promised action if formal complaints are lodged.
Haveri: Sugarcane growers across the state are expressing dissatisfaction over unregulated wastage deduction imposed by sugar factory owners. Several factories have been deducting upto eight percent wastage per tonne, resulting in significant loss for farmers.Factory owners haave been engaged in this illegal practice for several years. Although deduction in the name of wastage is not stipulated in policy, factory owners have adopted this practice, exploiting cane growers through an unwritten constitution.Siddalingappa Kalkoti, a farmer from Koradur village in Haveri taluk, expressed his anger, and alleged that all factory owners have been making illegal deductions of cane without any regulation. He supplied cane to Shamanur Sugars Limited in Duggavati, Davangere district, but factory authorities unlawfully deducted eight percent from his supplies. “The factory has been withholding eight percent per tonne, under the pretext of impurities and waste,” he added.He further stated that in 2024, Kalkoti supplied 568 tonnes of sugarcane as per the factory’s records but received payment for only 522 tonnes. The 46-tonne deduction resulted in a loss of Rs 1,18,147, calculated at Rs 2,569 per tonne.
Siddalingappa supplied approximately 500 tonnes in both 2020 and 2022, and 450 tonnes in 2023. “Each time, there was a deduction of eight percent. The cumulative loss estimated to exceed Rs 6 lakh. Are such deductions sanctioned by any govt regulation?” Kalkoti questioned.Ravikumar Savanur, another sugarcane grower, noted that based on his information, there is no rule that allows for such deductions from the total sugarcane supplied. He added that not only Shamanur Sugars but all factories, including Mailar Sugars, GM Sugars Sangur, Vijayanagar Sugars Mundaragi, and others, are unlawfully deducting wastage. “This is a thousand crore scam. The factory officials are committing deceiving the farmers. The state govt should initiate actions against factory owners without delay,” he demanded.He further said, “We have submitted a petition to the Haveri SP, and will meet the district minister Shivanand Patil and draw his attention to this matter.”When contacted, minister Shivanand Patil stated that there is no rule permitting deductions on the name of wastage in cane. “I will initiate actions against factories if farmers file complaints,” he said.
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Source : The Times Of India
