Question : Payment to Sugarcane Farmers

(a) the steps being taken by the Government to make payment to the sugarcane farmers as the Government has not provided the amount of export subsidy to the sugar mills during the years 2018-19 which is in crores as informed by a sugar mill in writing;

(b) whether the Government is aware that a huge amount of money of sugarcane farmers is due against sugar mills for purchase of sugarcane for the last two years; and

(c) if so, the time by which the said payment is likely to be made?

Answer given by the minister

A N S W E R
MINISTER OF STATE FOR MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION
(SHRI DANVE RAOSAHEB DADARAO)

(a): In order to improve the liquidity of sugar mills thereby enabling them to clear the cane dues of farmers, the Central Government is providing assistance to sugar mills under various schemes in 2018-19 sugar season viz. Assistance to sugar mills @Rs.13.88/quintal of cane crushed for sugar season 2018-19 to offset the cost of cane; and assistance to sugar mills for defraying expenditure towards internal transport, freight, handling and other charges to facilitate export of sugar etc. So far, about Rs 1574 Cr has been disbursed to sugar mills under these schemes.
(b)&(c): As on 05.02.2020, out of total cane dues of above Rs 85000 Crore and Rs 87000 Crore payable against the cane purchased by sugar mills during sugar seasons 2017-18 and 2018-19 respectively, about Rs 84900 Crore and Rs 84700 Crore have been paid to sugarcane farmers in the respective seasons . Cane price dues of only about Rs 100 Crore for the sugar season 2017-18 and Rs 2300 Crore for the sugar season 2018-19 are pending with the sugar mills.
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