Maharashtra intensifies drive against sugar mills that are yet to clear FRP of farmers
Maharashtra has intensified action against sugar mills defaulting on Fair and Remunerative Price payments, initiating recovery proceedings against seven mills and issuing notices to seven more. Authorities may seize mill assets to recover hundreds of crores of pending dues owed to sugarcane farmers.
Maharashtra’s Sugar Commissionerate has intensified its crackdown on sugar mills that have failed to pay Fair and Remunerative Price (FRP) dues to sugarcane farmers, initiating Revenue Recovery Certificate (RRC) proceedings against seven mills and issuing warning notices to seven more.
The action marks one of the strongest enforcement drives in recent years aimed at recovering pending payments owed to farmers. Once an RRC is issued, district collectors are empowered to seize and sell the assets of the concerned sugar mill to recover outstanding dues and ensure payments reach farmers.
The recovery process began on May 15 when Sugar Commissioner Dr. Sanjay Kolte ordered the first RRC against Gokul Sugars in Solapur district. The drive expanded on May 22 with similar action against six additional mills. The move has attracted attention across the sugar sector, particularly because some of the mills under scrutiny are associated with influential political and cooperative leaders.
Even as district administrations proceed with asset recovery measures against three cooperative and four private sugar mills, the Sugar Commissionerate has widened its investigation. On June 8, seven more mills were served show-cause notices asking why RRC proceedings should not be initiated against them for failing to clear FRP dues.
The mills receiving notices include five cooperative and two private sugar factories. Their executive directors have been directed to appear before the Sugar Commissionerate in Pune on June 15 for a hearing.
The seven mills already facing RRC action collectively owe hundreds of crores of rupees to farmers. These include Gokul Sugars, Solapur, with pending dues of Rs 130.46 crore, Bhima Cooperative Sugar Factory in Solapur with Rs 30.22 crore outstanding, and Kedareshwar Cooperative Sugar Factory in Ahilyanagar with dues of Rs 22.44 crore. Other mills under recovery proceedings are Shrisant Kurmadas Cooperative Sugar Factory, Bhimashankar Cooperative Sugar Factory, S.J. Sugar Distillery and Power Pvt. Ltd., and Sachin Ghayal Sugars Pvt. Ltd.
Among the mills served notices are Green Power Sugar Ltd. in Satara, Shraddha Energy and Infra Products Pvt. Ltd. in Jalna, two units of Bhaurao Chavan Cooperative Sugar Factory in Hingoli and Nanded, Manjara Shetkari Cooperative Sugar Factory in Latur, Rena Cooperative Sugar Factory, and Purna Cooperative Sugar Factory. The outstanding dues of these mills range from Rs 10 crore to nearly Rs 49 crore.
According to Sugar Commissioner Dr. Sanjay Kolte, the action has been taken against mills that have not paid FRP dues for the 2025-26 sugarcane crushing season. He urged all remaining mills with pending payments to clear farmers’ dues immediately, warning that further action could follow against defaulters.
The latest measures signal the state government’s determination to ensure that sugarcane farmers receive their rightful payments and that mills failing to meet their obligations are held accountable.
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Source : ChiniMandi
