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Maharashtra issues recovery notices to seven sugar mills over unpaid FRP dues

Maharashtra has issued recovery notices to seven sugar mills over unpaid FRP dues totaling Rs 232.79 crore. Although mills have paid Rs 39,769 crore of the season’s Rs 40,446 crore obligation, Rs 677 crore remains pending across 71 mills.

Mumbai: The Maharashtra Sugar Commissionerate has issued Revenue Recovery Certificate (RRC) notices to seven sugar mills for failing to clear Fair and Remunerative Price (FRP) dues owed to farmers. The mills collectively owe Rs 232.79 crore, with four of the units located in Solapur district.

According to the Sugar Commissionerate, the seven mills had pending farmer payments of Rs 23,279.54 lakh as of the end of May. District collectors will now initiate further action against the defaulting mills, Loksatta reported.

The mills facing recovery action include Gokul Sugars Ltd with outstanding dues of Rs 13,046.25 lakh, Bhima Cooperative Sugar Factory Ltd with Rs 3,022.26 lakh pending, and Shri Sant Kurmadas Cooperative Sugar Factory Ltd with dues of Rs 1,597.56 lakh.

Other mills served notices are Bhimashankar Sugar Mills Ltd owing Rs 1,226.51 lakh, Bhima Cooperative Sugar Factory with dues worth Rs 3,022.26 lakh, Kedareshwar Cooperative Sugar Factory Ltd with pending dues of Rs 2,244.65 lakh, S J Sugar Distillery and Power Pvt Ltd with Rs 193.04 lakh outstanding, and Sachin Ghayal Sugars Pvt Ltd owing Rs 1,949.27 lakh.

Rs 677 Crore FRP Still Pending This Season

During the current crushing season, 210 sugar mills in Maharashtra crushed 1,045.63 lakh tonnes of sugarcane. These mills were required to pay a total FRP of Rs 40,446 crore to farmers.

Of this amount, Rs 39,769 crore has been paid, while Rs 677 crore remains outstanding.

Out of the 210 mills, 139 have cleared their FRP dues in full. A total of 62 mills have paid between 80 and 99.99 per cent of their dues, while three mills have paid between 60 and 79.99 per cent. Six mills have paid less than 60 per cent of their FRP obligations.

Overall, 71 sugar mills in the state still have pending FRP dues amounting to Rs 677 crore.

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Source : ChiniMandi

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