Discontentment seems to be brewing among sugarcane growers in Odisha's Ganjam district as the state-run Aska Cooperative Sugar Industries Ltd (ACSIL) is yet to clear dues to the tune of Rs 20 crore while processing of sugarcane ended on April 11.
"Farmers should be paid within a month of supplying the sugarcane. In case of delay, the authorities should pay interest on the amount," said General Secretary of Ganjam District Sugarcane Growers Association Sameer Pradahan.
The association has threatened agitation if the dues are not paid within a fortnight. This year, the farmers supplied sugarcane to the factory at Rs 2,480 a tonne.
ACSIL authorities said the dues would be cleared once the sugar was sold. "We have 57,000 quintals of sugar worth around Rs 20 crore in stock. Though the price of sugar has increased compared to previous year, market remains sluggish," said Managing Director of ACSIL Muralidhara Mallick.
The sugar factory has sought a loan of Rs 15 crore from the Odisha State Cooperative Bank. "The bank is expected to sanction the loan after the government agrees to be guarantor," Mallick said.
