Private sugar mills in UP still owes Rs 2358 cr of the cane farmers



Lucknow : Even after several assurances and claims by the Centre as well as the Uttar Pradesh government, the sugarcane farmers in the state were yet to get Rs 2358.58 crores they owe on the private sugar mills so far. The crushing seasion has ended in May last but even after around three months time, private sugar mills were not releasing the pending dues of the farmers whereas the state owned mills have made full payments to the farmers. UP Sugar Mills Association(UPSMA) said here today that the private mills still owe Rs 2358.58 crores after taking in account the State Advisory Price(SAP) of Rs 280 per quintal. The private mills had paid at the rate of Rs 230 per quintal to the farmers till July but were slated to pay the difference of the State Advised Price (SAP) of Rs 280 per quintal after three months of closure of the mills. The crushing season for 2015-16 ended in May and now after three months the due amount has gone up to Rs 2358.58 crores. A senior officials of the UPSMA told UNI here the payment of sugarcane was good this season and it was 86.90 per cent at present.


"The backlog of cane dues were covered up this season due to rise in the sugar price and improvement of revenue through sale of ethonol," he said. During this 2015-16 sugar crushing season, one mill of the corporation paid the entire amount of Rs 91.64 crore while 24 cooperative sector mills paid full amount of Rs 1811.97 crore. The 92 private mills have paid Rs 13740.94 crore against their total due of Rs 16099.52 crore with outstanding amount of Rs 2358.58 crore which is 85.35 per cent of the total dues. Of the main defaulters ,all in the private sector, the biggest was the Bajaj group which has a total due of Rs 415.86 crores followed by Mawana group which has to pay Rs 374.94 crore, Modi group still owes Rs 374.67 crore of the farmers. The Simbhaoli group also have to pay Rs 315.92 crore and the Rana group Rs 224.68 crores. The 92 private mills crushed 5775.12 lakh quintal of sugar cane to produce 621.72 lakh quintals of sugar while the 24 cooperative mills crushed 648.80 lakh quintal of cane to produce 60.71 lakh quintal of sugar in UP. The lone corporation mill crushed 32.73 lakh quintal of sugarcane to produce 3.10 lakh quintals of sugar. During the past cane due payment, in 2013-14, the mills paid 100 per cent but in 2012-13 they paid 99.98 per cent of the farmers' dues and in 2014-15, 99.73 per cent payment was made.

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