Karnataka : Farmer activist to move HC over due payment of sugarcane bills
In Belagavi, sugar mills are delaying payments to farmers, violating the Sugarcane (Control) Order of 1966, which mandates payments within 14 days. Mohan Shah, vice-president of the North Karnataka Sugarcane Producers Association, is filing a PIL. Sugar minister Shivanand Patil explained that delays stem from mills waiting for Central government approval to sell sugar and make payments.
Belagavi: According to the Sugarcane (Control) Order of 1966, sugar mills should pay the bills to sugarcane-supplying farmers within 14 days. However, in present practice, sugar mills clear payments in two to three instalments. Challenging the existing practice, the vice-president of the North Karnataka Sugarcane Producers Association and former MLA, Mohan Shah, decided to file a public interest litigation (PIL) in the high court.The Sugarcane (Control) Order of 1966 deals with many issues, including the establishment of sugar factories, fixing the fair remunerative price (FRP), and ensuring the cane dues are supposed to be paid to farmers. The Act clearly states that sugar mills must clear the dues of the farmers within 14 days after the supply of the produce.”Sugar mills make unnecessary delays in making the payment. Sometimes, they give the first instalment after 45 days to two months, which is against the law. So far, we have tried to resolve the issue with the sugar minister and local DC. As we are getting no positive response, we decided to opt for legal battle,” Shah said, adding that such a delay makes farmers suffer financially.Shah said, “Apart from delays in payments, we are also filing a petition in the court seeking instructions to sugar mills that they should charge harvesting costs based on the distance of the sugarcane field from the factory. Presently, equal cost is collected from all the farmers irrespective of the distance,” he stated.
Responding to the issue, sugar minister Shivanand Patil said the farmers demand the payment within 14 days after the supply of the sugarcane. However, the managements of sugar mills say it is not in their hands because they have to sell the manufactured sugar in order to pay the farmers. They can sell sugar only after the Central govt permits them. In case of delay by the central govt, they cannnot pay the bills to the farmers. “To resolve the issue, the state govt is mulling to provide a mortgage loan to the sugar mills to clear farmers’ payments,” the minister stated.
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Source : Times Of India
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