Sugar MSP: NFCSF writes to cooperative sugar mills to send their cost of sugar and ethanol production
The National Federation of Cooperative Sugar Factories (NFCSF) notified cooperative sugar mills of the government’s contemplation to raise the Minimum Selling Price (MSP) of sugar. NFCSF will compile State-wise and zone-wise production costs. Mills are urged to furnish data promptly. The industry seeks MSP hike linked to sugarcane Fair and Remunerative Price (FRP) to bolster revenue and facilitate timely payments to farmers.
In a letter to the Managing Directors and General Managers of all cooperative sugar factories and State Federations of cooperative sugar factories in the country, the National Federation of Cooperative Sugar Factories (NFCSF) has written that the Government is giving serious thought to increasing the Minimum Selling Price (MSP) of sugar in the country.
For this, the Government requires State-wise and zone-wise actual cost of sugar and ethanol production from the cooperative sugar mills, and the task of computing the same has been entrusted to NFCSF.
In the letter, the Association has requested member cooperative sugar mills to send the information within a week of receiving the letter.
The sugar industry has been requesting the Government to increase the sugar MSP and link it with the prevailing sugarcane FRP. This will increase revenue generation of sugar mills and improve their liquidity position, which will enable them to make timely cane payment to farmers.
