Question : OUTSTANDING DUES AGAINST SUGAR MILLS



(a) whether a huge amount of arrears of sugarcane is lying outstanding against Sugar Mill owners in the country;

(b) if so, the details thereof as on January 1, 2000, sugar mill-wise in each State; and

(c) the efforts made by the Government to accelerate the payment of amount to farmers?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF CONSUMER AFFAIRS AND PUBLIC DISTRIBUTION

(SHRI V. SREENIVASA PRASAD)

(a) & (b): As per information received from the Sugar Mills as on 01.01.2000 (opening), the total amount of sugar cane growers, dues against the sugar mills for the sugar season 1999-2000 (October-September) was Rs.707.39 crores. Sugar mill wise details are at Annexure. The position of cane price dues for the current 1999-2000 vis-a-vis previous two seasons as on 1st January (Opening) is given as under :

(Rs. in lakhs)

Season	Position as On	Total price	Total price	Arrears	% of arrears	Payable	Paid	on price payable
1999-2000 01.01.2000 2115.68 1408.29 707.39 33.4 1998-99 01.01.1999 2006.48 1321.91 684.57 34.1 1997-98 01.01.1998 1762.54 1170.63 591.91 33.6
Thus the dues are not abnormal during the current crushing season.

(c) The responsibility for ensuring timely payment of cane price dues to the farmers by the sugar mills lies with the State Governments, who have necessary powers and field agencies to ensure such payments. The Central Government on its part has been drawing the attention of the State Governments to the provisions of the Sugar Cane (Control) Order 1966 including payment of interest in the case of delay beyond 15 days and they are being advised at the highest level from time to time to expedite clearance of cane price arrears. Central Government has also been pursuing a policy of encouraging stability and reasonable level of sugar prices in the domestic market through judicious release of free sale sugar quotas to enable the sugar factories to clear the cane price dues of the farmers.