Maharashtra curbs sale of sick co-operative sugar units

Cooperatives minister Harshvardhan Patil says since 2006 about 26 cooperative sugar factories under liquidation have taken over by private parties

The Maharashtra government on Wednesday took a decision not to sell cooperative sugar factories under liquidation to the private sector. Instead, the sale of such factories would be permissible to financially strong cooperative sugar units in the state. The decision was taken at a meeting held by Chief Minister Prithviraj Chavan.

The government’s move comes on the heels of hard-hitting observations made by the National Bank for Agriculture and Rural Development in its annual reports in the past three years, on the manner in which the sale of loss-making and closed cooperative mills was done. Besides, several farmers’ organisations have been stepping up their criticism against the sale of cooperative units to private parties.

Co-operatives Minister Harshvardhan Patil said since 2006, as many as 26 cooperative sugar factories under liquidation had been taken over by private parties.