UP bans import of unprocessed sugar

Thu, Nov 5 01:15 PM

Lucknow, Nov. 4 -- The state government on Wednesday banned import of unprocessed sugar by the sugar mills. The state government has taken the decision following violent agitation by sugarcane farmers in Muzaffarnagar last week. Talking to journalists in Lucknow on Wednesday Cabinet Secretary Shashank Shekhar Singh said the mills had been asked not to import sugar. He said ban had been imposed to protect the interest of 40 lakh farmers. "The mill owners have accepted our decision", Shekhar Singh said, adding that one rack had come at Muzaffarnagar, which was returned. He said two more racks of Brazilian unprocessed sugar were to come from Kandla Port but the mill owners had decided not to bring them in Lucknow. Asserting that the government would ensure payment of State Advisory Price (SAP) to sugarcane farmers, Singh said that central government should withdraw its decision to impose Fair and Remunerative Price (FRP) and go back to old method of annually announcing Statuary Minimum Price (SMP). The centre, amending laws, has introduced FRP this year. Singh said that the Supreme Court had approved state government's right to announce SAP. Pointing out that Chief Minister Mayawati had also written a letter to Prime Minister Dr Manmohan Singh to shelve new FRP system, this year FRP was Rs 129.84 per quintal with the condition of 9.5 per cent recovery from cane.

Singh said the cane production was likely to go down at least 20 per cent as compared to last year (2008-09) Last year the sowing was in 21.40 lakh hectare area and the output was 20.50 lakh tonne. This year the area was 17.88 lakh hectare and the production was also likely to be 17.88 lakh tonne.

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