Maharashtra: Payments in installments leaves sugarcane farmers feeling bitter

After onion farmers protested reduced prices due to a glut of produce and insufficient demand, sugarcane farmers are now up in arms against the Maharashtra government. The farmers have demanded a one-time payment of declared fair remunerative price (FRP) rather than the two instalments proposed by the government.

Swabhimani Shetkari Sangathan (SSS) has intensified protests against the Centre and state governments and sugar mills. It held a massive rally at the sugar commissioner's office on Tuesday, and threatened to intensify protests if demands are not met by January 28.

Raju Shetti, MP and SSS president, said that as per the Sugar Control Act, 1966, sugar mills have to pay the farmers directly in one go. "However, the government is allowing these mills to pay in two installments. This is in violation of the Sugar Control Act. The government should ideally seize stored sugarcane from the sugar mills and sell it in an auction. Subsequently, if the payments are still due, the government can even auction the mills' properties," Shetti said.

Minister for state for cooperatives and marketing federations, Sadabhau Khot, admitted that the yield and supply of sugar is high in the state despite reduced global market prices. Therefore the government has no option but to ask mill owners to pay FRP in installments. "Even in Gujarat, the FRP is paid in five installments. We have given out a Rs 12,000 crore package to the sugarcane farmers," Khot said.

"But there is a limit to how long can the government keep extending a helping hand to sugarcane farmers. Other crop owners are also demanding relief because of this," Khot added.

However, Shetti refused to accept this contention, insisting that FRP payment and other issues come under the purview of the Centre and not the state government. "The state shouldn't permit the mills to hand out the FRP in installments. They are setting the wrong precedent, and this is an anti-farmer decision. The government is testing the farmers' patience," Shetti said.

Shetti alleged that the government failed on its earlier promise of compensating sugarcane farmers. "In the recent farmers' round table conference at Varna, Chief Minister Devendra Fadnavis promised to pay a one-time FRP plus Rs 200 per quintal for the sale of sugarcane. And he said that they will ask the central government for FRP to the tune of Rs 2,900 to Rs 3,100 per quintal for sale of sugarcane. Farmers have been exploited at every level and fooled by empty promises," Shetti alleged.