The Maharashtra government is taking steps to ensure that sugar mills clear cane dues on time. As part of this effort, the state is issuing Revenue Recovery Certificates (RRCs) to facilitate speedy payment to sugarcane farmers.
In response to an unstarred question regarding the steps taken by the government to ensure timely payment of dues to sugarcane farmers in Maharashtra, Union Minister of State for Consumer Affairs, Food & Public Distribution, Nimuben Bambhaniya informed the Lok Sabha that “The Government of Maharashtra has issued 28 RRCs against sugar mills in the state, out of which 16 mills have paid 100% of the Fair and Remunerative Price (FRP). Furthermore, crushing licenses for the new sugar season are not issued by the Maharashtra government unless dues for the previous seasons have been paid.”
She added, “Payment of cane dues to farmers is a continuous process. The powers for monitoring the payment position of sugar factories have been delegated and vested with the State Governments and Union Territories. They conduct periodic reviews, and in cases of delay, suitable action is taken.”
“If the FRP amount is not paid or is delayed, action under Section 3(8) of the Sugarcane (Control) Order, 1966, can be initiated against the concerned factory by issuing a RRC through the State Government,” she said.
The government has announced the Fair and Remunerative Price (FRP) of sugarcane for the upcoming Sugar Season 2025–26 at Rs. 355 per quintal at a basic recovery level of 10.25%, with a premium of Rs. 3.46 per quintal for every 0.1% increase in recovery above 10.25%, and a reduction of Rs. 3.46 per quintal for every 0.1% decrease in recovery.
For the current Sugar Season 2024–25, the FRP has been fixed at ₹340 per quintal at the same basic recovery level of 10.25%.