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Yogi govt mulls Brazilian model to break sugar lobby monopoly in UP

The state government, led by Yogi Adityanath, has decided to revive Uttar Pradesh's gur and khandsari industry to boost local entrepreneurship, create job opportunities and spur rural economy

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Virendra Singh Rawat Lucknow
The cyclical nature of the domestic sugar sector has over the years resulted in massive arrears at the end of successive sugarcane crushing seasons, especially in Uttar Pradesh, the country’s top sugar producer.

Amid the state's gur (jaggery) and khandsari (raw and unrefined sugar) units facing roughshod over regulatory and policy issues, the sugar mills, mainly those operated by big corporate groups, remained the only option for farmers to sell their crops even when the arrears were piling.

In times of glut in the domestic sugar market and crashing retail prices, the mills have been quick to express their inability to