Sugarcane growers gear up for another round of protests

Ruchika M Khanna

Tribune News Service

Chandigarh, January 23

Sugarcane growers in the state are gearing up for another round of protests, demanding release of their dues by cooperative and private sugar mills.

Despite the state government providing Rs 25 per quintal, a portion of the State Advised Price (SAP) of Rs 295-Rs 310 per quintal, directly to cane growers, the process to disburse payments among them is rather slow.

Besides this years’ dues of Rs352 crore (present value), the private mills (except the ones at Dasuya and Amloh) have yet to clear dues of Rs38 crore for the 2017-18 crushing season.

In the cooperative sector, the government-owned mills have crushed 89 lakh quintals of cane they purchased for Rs 272 crore. These mills have cleared Rs 159-crore dues and currently owe farmers Rs 113 crore for this season and around Rs 100 crore for the last season.

“The state government is committed to releasing the payment and we are doing so in a time-bound manner. Every other day, part of the dues are being cleared,” said Jaswant Singh, Cane Commissioner, Punjab.

Though the sugarcane crushing season starts in mid-November, this time, private sugar mills, owned by politicians from across the political spectrum, had refused to buy the cane at the SAP, leading to growers’ protests. Following their stir, the government had agreed to pay a portion of the SAP (Rs 25 per quintal) directly to the farmers.

Jangveer Singh Chauhan, president of Doaba Kisan Sangharsh Committee, who was at the forefront of the growers’ agitation in December 2018, said the delay in release of payments was becoming a big issue and various farmers’ factions, including Pagdi Sambhal Jatta and his faction, would launch a stir soon.

Bitter sugar

131 lakh quintals of cane crushed by private sugar mills this season

Rs 395 cr owed by private mills; only Rs 43 cr paid to growers

Rs 113 cr dues to be paid to growers by cooperative sugar mills

‘Fund crunch behind delay’

The reason for the delay in release of payments to farmers is the cash crunch faced by most mills. We are clearing last season’s and this season’s dues side by side. But the government has not paid Rs 67-cr interest on a Rs 200-cr loan taken in 2015-16. It has not been releasing its part of the SAP ( Rs 25 per quintal).  —Jarnail S Wahid, Chief, Punjab private sugar mills ASSN