Govt paid 94% of sugarcane dues to farmers for 2015-16
NEW DELHI: The Goverment of India has cleared 94% of sugarcane dues of farmers for 2015-16. Minister of State Consumer Affairs, Food and Public Distribution, C.R.Chaudhary informed Lok Sabha on Tuesday.
Cane price arrears of Rs. 3269 crores on Fair and Remunerative Price basis and Rs. 6582 crores on State Advised Price basis are outstanding against the sugar mills.
Minister said due to surplus sugar production during the last four consecutive sugar seasons over consumption and depressed sugar prices, the liquidity of the sugar mills have been adversely affected leading to accumulation of cane price arrears.
The Government of India has taken several initiatives to help the sugar industry to resolve liquidity problems and to facilitate clearance of cane price arrears of farmers.
The initiatives are to provide incentive on raw sugar export for evacuation of excess stocks of sugar in the country, to extend soft loan of Rs.4305 crore to improve liquidity position of the sugar mills enabling them to clear cane price arrears,and facilitate sugar mills to supply ethanol under Ethanol Blending Programme (EBP).