Government sets up panel to examine sugarcane farmers’ demands and sugar pricing

Government Announcements & Schemes

New Delhi: The Centre has constituted a committee headed by former NITI Aayog member Prof. Ramesh Chand to examine key concerns raised by sugarcane farmers, including remunerative cane prices, sugar pricing and deductions made during weighment of mechanically harvested cane. The committee was formed following a meeting between representatives of sugarcane farmers from Karnataka and Maharashtra and the Union Ministers for Agriculture and Farmers’ Welfare, and Consumer Affairs, Food and Public Distribution. One of the panel’s key tasks will be to examine farmers’ demand for higher returns from sugarcane cultivation, taking into account production costs and other relevant factors. It will also review the ex-mill minimum selling price (MSP) of sugar in relation to sugar production costs, market realisations and the financial viability of sugar mills. The committee will assess existing systems for measuring and reporting sugar recovery at mills, along with mechanisms for independent verification and transparency. Sugar recovery is an important factor in determining the relationship between the quantity of cane processed and the sugar produced. The panel will also examine sugarcane weighment practices, including the calibration, inspection and verification of weighing equipment at mills. It will review deductions applied to mechanically harvested sugarcane and assess whether these...