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| UP farmers demand higher cane price |
| Virendra Singh Rawat / Lucknow Aug 07, 2010, 00:14 IST |
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In view of the expected bumper sugarcane crop in Uttar Pradesh (UP), the state’s farmers have demanded that the cane price be above Rs 250 per quintal for the 2010-11 season.
“Considering the present condition, we feel that Rs 250 per quintal should serve as the floor price,” UP Cooperative Sugarcane Societies’ Federation Chairman Shrikant Singh told Business Standard.
Every year, UP announces state advised price (SAP) for cane to be paid by mills to farmers, which is above the Fair and Remunerative Price (FRP), which is the minimum price farmers are legally guaranteed.
For 2009-10 sugar season, SAP had stood at Rs 165 per quintal for common variety vis-à-vis FRP of Rs 129.84 per quintal linked to 9.5 per cent recovery. However, the sugar mills in UP had paid almost Rs 300 per quintal due to cane shortage and high retail sugar prices.
This year, FRP has been increased by seven per cent to Rs 139.12 per quintal.
The representatives of sugarcane societies met cane commissioner Kamran Rizvi yesterday and handed over a memorandum of demands, including the cane price. The sugar mills procure cane for crushing through these societies as individual farmers are its members. There are almost 4.2 million sugarcane farmers in UP, while the number of cane societies is over 150.
Cane development minister Naseemuddin Siddiqui has also assured the federation of an interaction after the ongoing monsoon session of state assembly gets over.
For 2010-11 crushing season, the UP cane acreage is expected to jump 20 per cent to 2.15 million hectares.
Besides, the societies are also pressing for raising their commission to about Rs 4 per quintal from the current level of under Rs 3 per quintal.
“Our memorandum also attracts the attention towards the pending cane dues pertaining to the 2007-08 crushing season, which runs into several hundred crores,” Singh said.
The societies further lament that their powers were being curtained by the government appointees in contravention to the relevant act and rules.
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