Maharashtra mills pay 96% of fair, remunerative dues to cane farmers
Informist, Wednesday, May 24, 2023
By Afra Abubacker
MUMBAI – Sugar mills in Maharashtra have paid 322.3 bln rupees to sugarcane farmers as of May 15, which is 96.2% of the total payable fair and remunerative prices, according to the Sugar Commissionerate of Maharashtra.
The total payable fair and remunerative price is 334.7 bln rupees, and the arrears or due payments by mills account for 12.4 bln rupees.
Out Of The Total 210 Mills In Maharashtra that were Operational Till April, About 105 Mills Cleared Their Complete Dues To Farmers.
"The state has issued revenue recovery certificate to nine mills for the current sugar season (Oct-Sep) as of May 15 for failing to make payment to farmers. Last sugar season, no mills were issued revenue recovery certificate during the same period," a source said.
Out of the total 210 mills in Maharashtra that were operational till April, about 105 mills cleared their complete dues to farmers. While 79 mills paid 80.0-99.9% of the dues, 16 mills paid 60.0-79.9%, whereas 10 mills have paid 0-59%, according to Sugar Commissionerate of Maharashtra.
Mills that fail to clear at least 59% of their dues are issued revenue recovery certificates.
According to the Sugarcane (Control) Order, if farmers are not paid their dues within 14 days of cane procurement, assets or properties of the concerned mills can be attached for clearance of arrears.
The fair and remunerative price is a benchmark price set by the Centre below which no sugar mill can purchase cane from farmers. Fair and remunerative price for the sugar season 2022-23 (Oct-Sep) is fixed at 305 rupees per 100 kg. Besides, it is linked to a basic recovery rate, with a premium payable to farmers for higher recoveries of sugar from the cane.
Below is the list of sugar mills that have been issued revenue recovery certificate as of May 15:
Sugar mills
Dues (in mln rupees)
Tokai Sahakari Sakhar Karkhana Ltd, Hingoli
138.17
Tokai Sahakari Sakhar Karkhana Ltd, Hingoli*
74.11
Sai Kripa Sugar Mills Ltd, Ahmednagar
92.24
Sai Kripa Sugar Mills Ltd, Ahmednagar*
54.19
Nagai Sugars Ltd, Nandurbar
341.54
Makai Cooperative Sugar Factory, Solapur
263.21
Vitthal Refined Sugars Ltd, Solapur
830.72
Sahakar Shiromani Vasantrao Kale SSK Ltd, Solapur
442.49
Rajgad Cooperative Sugar Co Ltd
122.39
Total
2,359.1
*The above mills have been issued revenue recovery certificates twice.
