Hapur, Uttar Pradesh: The Simbhaoli and Brajnathpur sugar mills in Hapur district have finalised their plans to make payments to sugarcane farmers and to operate smoothly in the upcoming crushing season. The mills’ management and officials from the Insolvency Resolution Process (IRP) aims to clear confusion and concerns among farmers regarding delayed payments.
Hapur is one of the major sugarcane-producing districts in Uttar Pradesh, with Simbhaoli and its subsidiary Brajnathpur mill handling most of the procurement. However, due to the mills’ failure to repay bank loans, the matter went to court, and the management was transferred to a committee formed under the IRP.
In connection with sugar mills, the IRP appointed by the banks has clarified that Simbhaoli Sugar Group will not be sold publicly. Instead, weekly cane payments will be made. The IRP also said that farmers’ dues for the sugar season 2025-26 will be paid regularly.
As per the media repoort, the IRP clarified that no action will be taken to sell the sugar mills. Instead, restructuring will take place, and from the upcoming season, farmers will get regular weekly payments. This arrangement will continue until farmers’ pending dues are fully cleared.
To address payments concerns, mill officials and the IRP team will jointly presented a detailed plan to farmers, outlining the roadmap for clearing past dues and ensuring smooth operations for the new season.
Farmers expressed happiness over this decision, as they were worried that selling the mills might delay payments further. They believe that this step will help ensure transparency and regularity in payments.
