The government has hiked the fair and remunerative price, FRP of sugar cane by seven per cent and fixed it at 139.12 rupees per quintal for the 2010-11 sugar season. A decision to this effect was taken by the Cabinet Committee on Economic Affairs in New Delhi this morning. The FRP of sugarcane for the last 2009-10 season was 129.48 rupees per quintal. FRP is the minimum price the sugarcane farmers are legally guaranteed. The sugarmills are free to offer any price above the FRP. The FRP for 2010-11 sugar season is linked to a basic recovery rate of 9.5 per cent subject to a premimum of Rs. 1.46 for every 0.1 per centage point increase in recovery above the basic rate. In another decision, the CCEA approved MSP for TD-5 grade of jute at 1575 rupees per quintal. This represents an increase of 200 rupees a quintal. The CCEZ also approved continuance of National Horticulture Board to boost horticulture in country. It will have an outlay of 632 crore rupees. The Cabinet Committee on infrastructure also met and approved the project of development of a part of Tuticorin port at an estimated cost of over 332 crore rupees.