Government Fixes Sugarcane Support Price at Rs 690 Per Quintal

The government has fixed the support price and subsidy rate for sugarcane, bringing respite to the farmers. Although the new rate announced on Monday does not fully meet the farmers’ demand, sugarcane producers in Mahottari say they are largely satisfied as the price has increased compared to last year.

“We had asked for Rs 750 per quintal, considering rising production costs and inflation of essential goods. But the government has fixed only Rs 690, including the subsidy,” said Naresh Singh Kushwaha, chairperson of the Sugarcane Producers Association, Mahottari. According to him, the price—combining Rs 620 per quintal from sugar mills and Rs 70 in government subsidy—has increased by Rs 70 compared to last year.

With the harvest season approaching, farmers are now more concerned about the mills starting operations so they can clear their second-year sugarcane crop and plant new crops on time.

“We cannot afford delays. If we don't harvest the old cane soon, the fields will remain fallow for months,” said Arun Giri, a farmer from Bhangaha–4. Sugarcane yields crop twice—first-year cane known as ‘mudhan’ and the second-year crop known as ‘khutti’. Farmers say the first-year cane must be harvested by December end to allow timely cultivation of subsequent crops.

“If we miss the window, we’ll have to wait until the monsoon,” said Ram Binod Mahato of Pashupatinagar in Bardibas–9. Farmers and their associations have long demanded that the government fix the sugarcane price by mid-November and begin crushing cane by the November end.

Read: Why is Sugarcane Production Declining?

However, farmers argue the government often delays fixing the support price, leaving them with little choice but to accept whatever is announced at the last minute. “The government has increased the price this year and announced Rs 70 in subsidy, which is better than last year,” said Kushwaha. Last year, the support price was fixed at Rs 585 per quintal with a government subsidy of only Rs 35.

Farmers remain anxious as Everest Sugar and Chemical Industries in Ramnagar, Gaushala–1, has yet to begin operations. The mill said preparations are underway now that the government has finalized the price. The plant plans to complete its pre-crushing Dola Puja (equipment worship) within mid-December and start crushing immediately after that. Last year, the mill had begun crushing only on December 11.

This year, sugarcane has been cultivated on 9,600 bighas in Mahottari, according to Kushwaha. -- RSS