Cane mills fail to make payments to cane farmers

The Central as well as state governments are giving relaxations to sugar mills but sugarcane farmers are still struggling to get the price of their produce. Consumers are forced to buy sugar for Rs 40 per kg. The state government had announced a subsidy of Rs 6 per kg to IPL Sugar Mill on Jarwal Road and Parle Parsendi Sugar Mill. These mills have cleared outstanding dues of farmers by September 30.Many mills have failed to make payments as the deadline is fast approaching.
Simbhaoli Sugar Mill in Chilwaria, Indian Potash Sugar Mill on Jarwal Road, Parleji Mill and Shravasti Cooperative Mill in Nanpara are all located in the district. In sugar extraction session 2013-14, farmers were demanding to raise the price of sugarcane to Rs 340 per quintal. But the state government maintained the sugarcane price of 2012-13, which was Rs 280 per quintal. The government gave relaxation to the mill of making payment to the farmers so that they can pay Rs 260 as first installment and remaining Rs 20 later. But the mill management delayed the payment even after relaxation.
The sugar extraction session is over but all the mills have not cleared the outstanding dues of farmers. Two mills have outstanding dues of Rs 70 crores.
Indian Potash Limited Sugar Mill would be given a subsidy of over Rs 1.41 crores while Parleji Sugar Mill would be given a subsidy of over Rs 3.23 crores.
Simbhaoli Sugar Mill and Shravasti Cooperative Nanpara Mill have outstanding dues of Rs 70 crores. Chilwaria Mill has outstanding dues of Rs 63 crores. The sugarcane department has warned the sugar mill to make full payment to farmers by September 30.
Sugarcane officer Ramkishan said that the government had taken a decision of giving subsidy to sugar mills in view of the odd situations arising out of the decreasing prices of sugar and non-payment of dues to farmers. IPL and Parle Mill have made 100% payment and the report has been sent to the government to provide relaxation to the mills. Efforts are being made to ensure payment to sugarcane farmers by other mills.