Question : Setting up of Sugar Mills

(a) whether the Government has any scheme to set up sugar mills in Badaun, Uttar Pradesh where sugarcane is produced in a very large quantity, which lacks sugar mills and where some private sugar mills are not able to pay to the farmers in accordance with production;

(b) if so, the details thereof; and

(c) if not, the reasons therefor?

Answer given by the minister

MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION
(SHRI RAMVILAS PASWAN)

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


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STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) OF THE STARRED QUESTION NO. 314 DUE FOR ANSWER ON 10.12.2019 IN THE LOK SABHA.

(a) to (c): The Central Government does not setup sugar mill in any part of the Country. Further, sugar industry has been de-licensed w.e.f. 31.08.1998. After de-licensing, the entrepreneurs are free to setup sugar mills in any part of the Country subject to fulfilling the conditions laid down in Sugarcane (Control) Order, 1966.

As per information received from Government of Uttar Pradesh, there are two sugar mills viz, the Kisan Sahakari Chini Mills Ltd., Badaun and M/s. Yadu Sugar Mills, Bisauli in Badaun District of Uttar Pradesh and these mills are having sufficient cane crushing capacity to crush entire sugarcane of the area. Both the sugar mills have fully paid their cane dues for sugar season 2017-18 and previous seasons. In respect of sugar season 2018-19, the Kisan Sahakari Chini Mills Ltd., Badaun had paid Rs. 38.02 crores against cane dues of Rs. 41.88 crores. However, M/s. Yadu Sugar Mills, Bisauli has paid only Rs.23.45 crores against cane dues of Rs.118.75 crores of sugarcane farmers for the sugar season 2018-19. Government of Uttar Pradesh has issued Recovery certificate against M/s. Yadu Sugar Mills, Bisauli for recovery of sugarcane dues.
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