Union Cabinet approves hike in sugarcane FRP by Rs 25 to Rs 340 per quintal for 2024-25

New Delhi, February 21

The government on Wednesday announced hiking the sugarcane FRP by Rs 25 to Rs 340 per quintal for the 2024-25 season starting October.

Fair and Remunerative Price (FRP) is the minimum price that mills have to pay to sugarcane growers.

The decision to increase the FRP of sugarcane was taken at the meeting of the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi.

The Rs 25 per quintal hike is the highest by the Modi government and the move comes ahead of the general election.

Sugarcane is grown mainly in Maharashtra, Uttar Pradesh, and Karnataka.

“Keeping in view interest of sugarcane farmers (Ganna Kisan), the Cabinet Committee on Economic Affairs has approved Fair and Remunerative Price (FRP) of sugarcane for sugar season 2024-25 (October-September) at Rs 340 per quintal for a basic recovery rate of 10.25 per cent,” I&B Minister Anurag Thakur said at a media briefing.

The FRP has been determined on the basis of recommendations of the Commission for Agricultural Costs and Prices (CACP) and after consultation with state governments and other stakeholders.

The government also eased Foreign Direct Investment (FDI) norms in the space sector with an aim to attract overseas players and private companies into the segment.

Now, the satellite sub-sector has been divided into three different activities with defined limits for foreign investment in each such sector, according to an official statement.

Currently, FDI in the space sector is allowed up to 100 per cent in the area of satellite establishment and operations through government route only.