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GOVERNMENT OF INDIA
MINISTRY OF CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
LOK SABHA
STARRED QUESTION NO: 314
ANSWERED ON:  10.08.2021
Payment of Sugarcane Dues
Sumalatha Ambareesh
Doddaalahalli Kempegowda Suresh
Will the Minister of



CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION be pleased to state:-


(a) whether the Government is aware that there is huge delay in making payments to sugarcane growers by sugar mills;

(b) if so, the details along with the total number of farmers who have received late payment from the sugar mills during the last three years, year-wise and State-wise;

(c) whether the Government has taken any steps to ensure that sugarcane growers are paid their arrears by sugar mills; and

(d) if so, the details thereof?


ANSWER
A N S W E R
MINISTER OF COMMERCE & INDUSTRY, CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION AND TEXTILES
(SHRI PIYUSH GOYAL)

(a) to (d): A statement is laid on the Table of the House.





STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (d) OF THE STARRED QUESTION NO. *314 DUE FOR ANSWER ON 10.08.2021 IN THE LOK SABHA.

(a)to(d): Payment of cane price to sugarcane growing farmers by the sugar mills is a continuous process. The Central Government does not maintain farmer- wise list. In sugar seasons 2017-18, 2018-19 & 2019-20, cane price payable to sugarcane farmers on all India basis was Rs. 85179 crore, Rs. 86723 crore & Rs. 75845 crore respectively. With a view to improve the liquidity position of sugar mills and enabling them to make timely payment to farmers, the Government is taking various interventions from time to time like promoting diversion of excess sugar to ethanol through various measures, providing assistance to sugar mills to offset the cost of cane, fixation of Minimum Selling Price of sugar, extending financial assistance to sugar mills for maintenance of buffer stocks, extending financial assistance to sugar mills to facilitate export of sugar, extending soft loans to sugar mills, etc. As a result of these measures, cane arrears for sugar seasons 2017-18, 2018-19 and 2019-20 came down to Rs. 193 cr, 403 cr and Rs. 142 cr respectively.

The Sugarcane (Control) Order, 1966 stipulates payment of cane price within 14 days of supply of sugarcane. The Powers to enforce the provisions of Sugarcane (Control) Order, 1966 with regard to payment of cane dues of farmers is vested with the State Governments as they have necessary field formation for its implementation. Central Government from time to time issues advisory to the State Governments for ensuring clearance of cane price arrears of farmers and to take action against defaulting mills and keep reviewing the position.
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