UP leaves sugarcane state-advised price unchanged at Rs 280 a quintal

Price unchanged from three years ago; delay in announcement due to opposing demands from industry, farmers

The Uttar Pradesh government on Monday left unchanged state-advised sugarcane price at Rs.280 per quintal for the ongoing production year which started October 2015. The price has not been changed for last three years. However the announcement of the price has been delayed this season due to issues related to demands from industry and farmers' representatives as both wanted different pricing levels. 

Sources in the state government confirmed that price has not been increased. The sugar industry had said that with prices falling consistently in the past few years, Rs.280 per quintal for sugarcane was much higher and unviable, and had threatened to stop crushing of cane. However, farmers' representatives had demanded an increase as the price has not been raised for 2-3 years. 

The situation was exacerbated by the prospect of Assembly elections next year. 

In the current season, however, sugar prices have started improving due to various measures announced by the central government and an improvement in international prices giving exports a boost.