Decision On Delicensing Sugar Put Off

This is the second time the sugar delicencing proposal has been raised before the Deve Gowda cabinet by food minister Devendra Yadav and failed to get its approval.

The cabinet, however, unanimously agreed that leniency should be shown in clearing sugar licences so that no proposal is kept pending. The government will, therefore, clear sugar licences without delay to create more capacity in the country.

Mishra, who had supported delicencing of sugar when the proposal came up before the cabinet a few months ago, is said to have changed track and poot his foot down on the proposal yesterday.

Mishra is said to have told Prime Minister Deve Gowda that his recent tour of Maharashtra had made him change his opinion on sugar delicencing as the sugar cooperatives had complained to him about the government neglecting the interests of the cooperative sector.

 

Gowda agreed that the proposal should not be pushed through in the wake of differences in the cabinet. The issue needed deeper examination. According a cabinet source, Yadav was the only minister who was pushing the proposal.

The cabinet had turned down the sugar delicencing proposal prior to the UP assembly polls.

The general impression given by most ministers then was that the proposal would get the cabinets nod once the UP elections were over.