The government today said it expects the sugar cane production to increase in the coming seasons and hoped this will bring down the sugar prices. The Agriculture Minister Mr. Pawar assured the house that there will be a turn around in the sugar situation in two years. He was replying the discussion on the Essential Commodities Amendment and Validation Bill to replace the controversial ordinance on sugar cane pricing promulgated in October this year which had led to wide spread protests by farmers and led to adjournments in Parliament. The Bill was later passed by voice vote. Mr. Pawar said FRP will be fixed on seven parameters and will give a reasonable margin to farmers. He said that sugar mills will have to pay 25 per cent over and above the sugar cane cost to the farmers to cover the risk factor apart from other considerations. . Accepting that sugar prices were abnormally high, Mr. Pawar said that this was due to shortfall in sugar cane production, which was as low 160 lakh metric tones as compared to 230 lakh metric tones the previous years. Mr. Pawar said that government was not in favour of importing sugar but it had to do so to bridge the gap between demand and supply. He said that the government cannot ignore the interest of farmers as well as millers who provide sugar for fair price shops.<br/>
News On AIR | December 10, 2009 6:12 PM
Sugar cane production to increase in coming seasons: Govt.