Centre okays Rs 70 billion sugar package, MSP set at Rs 29 per kg

CCEA also announces creation of a buffer stock of 3 million tonnes for one year, which will be at an estimated expenditure of Rs 11.75 billion

The Union government has approved a package of measures for the sugar industry, which is grappling falling prices and an inability to clear payment arrears to cane farmers.

The Cabinet Committee on Economic Affairs (CCEA) approved Rs 70 billion as an intervention package to address the immediate liquidity problems of the industry. It also fixed a minimum selling price of white (refined) sugar at Rs 29 a kg.

Also announced was creation of a buffer stock of three million tonnes for one year, at an estimated expenditure of Rs 11.75 billion. However, this might be reviewed by the department of food &