Lok Sabha Question No. 336 (STARRED), answered on 2024-12-18
Subject: Outstanding Dues of Sugarcane Farmers
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Shri Ram Shiromani Verma

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## ORIGINAL IN HINDI

## MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION

## GOVERNMEN T OF INDIA DEPARTMENT OF FOOD AN D PUBLIC DISTRIBUTION

## LOK SABHA

STARRED QUESTION NO.336 TO BE ANSWERED ON 18Tli DECEMBER, 2024

## OUTSTANDING DUES OF SUGARCANE FARMERS

## ++336. SHRI RAM SHIROMANI VERMA:

Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION amtur WI& um aRt UdqfjqfaaWT IHt be pleased to state:

- (a) the amount of outstanding dues of sugarcane farmers towards sugar mills  during each of the last three years and the current  year, State-wise;
- (b) whether the sugar mills  are not  clearing the dues of sugarcane farmers every year and as a result, the said amount is consistently increasing, if  so, the details thereof; and
- (c) the  steps taken by  the Government to  ensure timely  payment of  price/outstanding dues to sugarcane farmers by sugar mills?

## ANSWER

MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION AND MINISTRY OF NEW AND RENEWABLE ENERGY (SHRI PRAT,FLAD JOSHD

(a) to (c):

A  statement is laid on the Table of the House.

## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) OF THE STARRED QUESTION NO. 8336 FOR ANSWER ON 18.12.2024 IN THE LOK  SABHA.

- (a): As per information  received from  State Governments, total  overdues of  sugarcane farmers towards sugar mills  during  each of the last 3 years and the current year, year-wise and state-wise is given at Annexure.

(b) to (c): Payment of  cane dues to  farmers is  a  continuous process and from  the annexure it  may be seen that the outstanding cane arrears are decreasing continuously.

As  per the Sugarcane (Control) Order, 1966, the sugar mills  are required to  make payment of cane price to the farmers within 14 days of supply of cane to the concerned sugar mills.  The powers for enforcing the provisions of the Sugarcane Control  (Order),1966 have been delegated and vested with the State Governments/UTs Administrations.

With  a view  to facilitate  payments of  outstanding dues to the sugarcane farmers, the Central Government has taken various steps in the form of policy  interventions from time to time as and when required, which  are as under:

- 1) Central  Government fixes Fair  and  Remunerative Ptice (FRP) of  sugarcane having regard to the factors mentioned in Clause  3(1) of  the  Sugarcane (Control) Order, 1966.
- 11) Minimum Selling Price of sugar was fixed to prevent fall in ex-mill prices of sugar &  accumulation of cane arrears (initially at ? 29/ kg  w.e.f  07-06-2018; revised to ? 31/kg w.e.f.  14-02-2019).
3. iii) Diversion  of  surplus sugar to production  of ethanol led to improved  financial conditions  of  sugar mills.  As a result, they are able to clear cane dues early.

As  a result  of these measures, about 99.9% of cane dues up to sugar seasons 2022-23 have been cleared. For the previous sugar season 2023-24, out of total cane dues payable of Rs. 1,11,674 crores, about Rs.  1,10,399 crores have been paid  &  only  Rs.  1,275 crores are pending as on  13.12.2024; thus around 99 % cane dues have been cleared. In the current Sugar Season 2024-25, out of the total cane price payable of Rs. 11,141 crores, Rs. 8,126 crores have already been paid to farmeR.

##88

## ANNEXURE REFERRED TO IN REPLY TO PART (a) OF THE STARRED QUESTION NO. *336 DUE FOR ANSWER ON 18.12.2024 IN THE LOK  SABHA

Statement showing total  overdue of sugarcane farmers  by sugar mills during  the last 3 years  and the current  year, year-wise and state-wise as on 13.12.2024

( Figures in  Cr.  Rs.)

| State   | 2021-22   | 2022-23   | 2023-24   | 2024-25        |
|---------|-----------|-----------|-----------|----------------|
| 37      | 128       | 1212      | 574       | Uttar Pradesh  |
|         | 32        | 10        | (as on 2  | Maharashtra    |
| 0       | ()        |           | 1405 0    | Karnataka      |
| 0       |           | 0         | 24 11     | Tamil Nadu     |
| 0       | ()        |           | 159 0     | Bihar          |
| 0       |           | 0         | 149 10    | Uttarakh and   |
| 0       |           | 0         | 30 8      | Andhra Pradesh |
| Others  | 28        | 0         | 148 32    |                |
| Total   | 97        | 138       | 1275      | 3015           |

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