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Maharashtra’s sugarcane crushing season delayed amid lower production estimates

The Maharashtra government has postponed the sugarcane crushing season to after November 15 due to state assembly elections and a decrease in sugarcane availability, with estimates showing 904 lakh tonnes for the 2024-25 season, down from 1,076 lakh tonnes last year. This delay has created political tensions, as ruling alliance leaders are pushing for financial aid to mills for timely payments to farmers, while concerns grow over potential competition from neighboring Karnataka’s mills, which are set to start their season on the same date.

The Maharashtra government has announced that this year’s sugarcane crushing season will commence only after November 15, citing State assembly elections and a reduced availability of sugarcane. The delay was confirmed by Deputy Chief Minister Ajit Pawar, who stated that the decision was made to ensure mills operate efficiently despite the limited cane supply.

According to estimates from the State Sugar Commissioner’s office, Maharashtra will have 904 lakh tonnes of sugarcane available for crushing during the 2024-25 season, a drop from the 1,076 lakh tonnes crushed last season. Of the available cane, around 12 lakh tonnes are expected to be diverted for ethanol production. As a result, sugar production is projected to fall to between 90 and 102 lakh tonnes. Last year, Maharashtra mills produced 110 lakh tonnes of sugar.

Pawar said the decision to postpone the crushing season was also influenced by the upcoming elections. “I have spoken to the Chief Minister regarding possible poll dates and the sugarcane situation before reaching this conclusion,” he said.

Political tension

However, the delay has sparked political tension, with leaders from the ruling alliance urging the State government to provide financial assistance to mills so they can pay the Fair and Remunerative Price (FRP) to farmers and commence the season without further delay. Meanwhile, opposition-aligned mill directors have accused the State government of favouring mills linked to the ruling alliance, leaving other mills struggling with a financial crisis.

The delay is also raising concerns among Maharashtra’s sugar millers about potential competition from Karnataka. Sugar factories in North Karnataka, which are set to begin their crushing season on November 15, could attract sugarcane from farmers in Maharashtra’s bordering districts, including Kolhapur and Sangli, if the season in Maharashtra is postponed any further.

The South India Sugar Mills Association (SISMA) recently decided to commence crushing in Karnataka from November 15, increasing the pressure on Maharashtra’s millers to begin their operations soon to prevent the loss of sugarcane to neighbouring States.

Source Link : https://www.thehindubusinessline.com/news/maharashtras-sugarcane-crushing-season-delayed-amid-lower-production-estimates/article68693862.ece

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