In a stringent move, the Andhra Pradesh (AP) government has warned the sugar mills that it may have to invoke ?revenue recovery rules? against the mills for failing to pay the statutory minimum price (SMP) to the farmers. The four mills ? Ganapathi Sugars, Trident Sugars, Gayatri Sugars and Nizam Deccan Sugars ? from Telangana region maintain dues to the tune of Rs 32.5 crore for 2007-08 crushing season.
?We have already issued orders to the concerned district collectors to invoke revenue recovery norms against the sugar mills who failed to pay the SMP to the farmers against the sale of sugarcane,? the state?s sugar minister Geeta Reddy said.
Responding to this, the representatives of the sugar mills said that they had failed in paying the dues to the cane growers as the stocks are still left in the mills due due to fall in the international prices.
The minister summoned the mill managements for a discussion here on Thursday, following the agitation launched by contracted farmers of Trident Sugar Mills against delay in payment. Accordingly, the government has fixed the final deadline for paying arrears. ?We have fixed the deadline individually for each sugar mill depending on the circumstances. And, all will have to pay their dues by the end of the month,? Reddy said.
As per the plan, the mills will initially pay the SMP of Rs 811 per tonne, and the remaining at a later date.