The expenditure on sugarcane production in the sugar season 2022-23 is estimated at Rs 162 per quintal.
The Modi government has increased the guaranteed price of sugarcane by 34 percent in the last eight years.
About Rs 1.20 lakh crore will be paid to the farmers in the next session.
New Delhi. To increase the income of the farmers, the Modi government has taken another big decision. Prime Minister Narendra Modi-led Union Cabinet for Economic Affairs (CCEA) has increased the Fair and Remunerative Price (FRP) of sugarcane by Rs 15 to Rs 305 per quintal.
Actually, FRP is the price below which farmers cannot be paid. This means that now farmers will get a guaranteed price of Rs 305 per quintal on sugarcane. This price will be applicable for the Chinese session 2022-23 (October-September). The Consumer Ministry said that for every 0.1 percent increase in FRP recovery of more than 10.25 percent, a premium of Rs 3.05 per quintal will also be given, while for every 0.1 percent decrease in recovery, FRP will be reduced by Rs 3.05. In case of sugar mills, no deduction will be made if the recovery rate is less than 9.5 per cent.
will get double the cost
The ministry said that with the increase in FRP, the income of sugarcane farmers will almost double. In the sugar season 2022-23, the cost of sugarcane production is estimated to be Rs 162 per quintal, while the farmers will be given Rs 305 per quintal, which is 88 percent more than their cost of production. The price of sugarcane in the current sugar season is Rs 290 per quintal.
FRP increased by 34 percent in eight years
The Modi government has increased the guaranteed price of sugarcane by 34 percent in the last eight years. About 3,600 lakh tonnes of sugarcane are likely to be procured from the mills in the coming sugar season. In such a situation, it is estimated that in the next session, about Rs 1.20 lakh crore will be paid to the farmers. The government has said that along with increasing the price of sugarcane, we are also ensuring that their payment is given to the farmers on time.
Benefit to 5 crore farmers and 5 lakh workers
The increase in the price of sugarcane will directly benefit 5 crore farmers of the country. Along with this, 5 lakh workers working in sugar mills will also benefit from it. Experts say that along with the increase in the production of ethanol, the purchase of sugarcane is also increasing and its benefits are also getting directly to the farmers.
FIRST PUBLISHED : August 04, 2022, 09:10 IST