Sugarcane mills: Sweet mouth of sugarcane growers! Sugar mills locked up by government – sugarcane mills paid to farmers before crushing season


M. Ta. Representative, Kolhapur: As many as 134 mills in the state credited all the FRPs to the farmers’ accounts in eight days. As many as 11 mills have not yet issued their refinancing licenses. Meanwhile, the sugar director has ordered confiscation of some of these factories.

Last year, 145 out of 195 mills took over the crushing season. Drought in some areas and heavy rains in others have reduced sugarcane production, which has also hit sugar production. So the FRP set last year was not given by the majority of the factories even though it was time for the new season to start.

The FRP of Rs 900 crore was due from more than 300 factories across the state. The new season is set to begin in the next fortnight. The sugar director decided not to license the new season unless the previous arrears were paid. As the season approached, the sugar emperor shuddered at not being able to get a threshing license. The FRP, which was withheld for financial reasons throughout the year, was immediately credited to the farmers’ accounts in the last eight days. As a result, more than 150 mills have now been given mill licenses.

Eleven sugar mills in the state have not yet issued FRP. Therefore, confiscation action has been ordered against this factory. They have ordered the sale of the sugar and other products produced to pay the arrears. It is also suggested to sell the factory property if the amount falls short. The factories have issued FRPs in the wake of warnings of stern action. But still the farmers have not received more than Rs 200 crore.

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At the end of last year’s season, the country’s factories had exhausted farmers’ FRP of Rs 20,000 crore. Of this, Rs 2,000 crore belonged to farmers in Maharashtra, but factories in the state have paid the majority of it and now only about Rs 200 crore is owed. In contrast, farmers in Uttar Pradesh have not received FRP of Rs 12,000 crore.

Sugar factories in the state

Factories that continued last season

Total FRP
16 thousand koti

Last season’s sugar production
42 lakh tons

Expected production of sesame in the new season
105 lakh tons

The FRP, which has been in arrears for a year, issued an order not to issue a license to start the season unless it is issued immediately. As a result, most of the factories have given it immediately. FRP will be given to the farmers by confiscation action against those who do not pay.
– Shekhar Gaikwad, Sugar Director


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