: Tamil Nadu goverment has decided to fix Rs 2850 as State Advised Price (SAP) for one tonne of sugarcane for the year 2016-17, Rs 550 more than the Centre's Fair and Remunerative Price (FRP) of Rs 2300.
Chief Minister O Panneerselvam said that while Centre had fixed the FRP at Rs 2300, the state government decided to fix its SAP at Rs 2850, including the Rs 100 on transport costs.
The government's SAP was Rs 2850 for 2015-16 also.
Panneerselvam said that though Centre had fixed the FRP at Rs 2300, most sugar mills in Karnataka were providing Rs 2600 per tonne, while those in Maharashtra were giving Rs 2475 per tonne for sugarcane.
"Considering the welfare of sugarcane farmers, it has been decided to fix the SAP at Rs 2,850 which includes the Rs 100 on transport charges. Due to this (proposal), farmers will get an additional Rs 550 as the Centre had fixed the FRP at Rs 2300," he said in a statement today.
Panneerselvam further said he has directed constituting a panel,comprising government officials, sugarcane farmers and sugar mill representatives to recommend the government on matters including to fixing prices.
A sugarcane farmer's association, however, was not satisfied with the proposal.
The Tamil Nadu Karumbu Vivasayigal Sangam, affiliated to a farmers' body of CPI-M, said that farmers had demanded for a Rs 4,000 SAP.
Panneeselvam's announcement on Rs 2850 was "shocking", its state General Secretary D Ravindran said in a statement.
He also announced holding protest outside sugar mills in the state on January 3 seeking Rs 4000 per tonne as SAP among other demands.
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