In the face of growing infuriation among cane farmers, who have now threatened to take on the Uttar Pradesh government in their bid to get the state-advised cane price revised, the state government has started taking steps to appease them by asking sugar-mill owners to hike the incentives for cane.
Though the government has ruled out any revise inthe state-advised price (SAP), it said adequate steps would be taken to ensure that the farmers are satisfied. ?The SAP declared by the state government has been chalked out after working out the input cost. But, SAP is only the base price recommendation and not the maximum. So, bearing in mind the market forces, the mills can work out some kind of incentive for the farmers,? UP Cabinet secretary Shashank Shekhar Singh said on Sunday.
Stating that an order has been issued to the commissioners and district magistrates late last night, Singh said the state government has asked them to conduct meetings with the cane growers and mill owners to come to a consensus on sugarcane pricing. ?The government has impressed upon them that the issue needs to be resolved amicably and the state government will play the role of a facilitator in this,? he added.
Claiming that as many as 14 mills had started cane crushing, Singh added that another 13 are ready and will start operating soon.
On the issue of raw sugar imports, he said till the entire sugarcane grown in the state is not crushed completely, the restriction on the import of raw sugar will stay. In the wake of resentment among farmers, the government has restricted the supply of raw sugar in the state and this will continue till crushing continues.
However, both the moves of the state?to put pressure on millers to hike incentives to farmers and the restriction on raw sugar import? will invariably reduce the margin of the millers, who will then, perforce, further increase the price of the sugar, which will have a bearing on the consumer.