Cane development contribution of Co-operative Sugar Mills Societies to be used for construction of sugar godowns along with cane development works

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Lucknow: Commissioner, Cane and Sugar, Shri Sanjay.R. Bhoosreddy told that with a view to solve the problem of storage of sugar in the cooperative sugar mills of Uttar Pradesh, Government has issued an order regarding the use of Cane development contribution received by the cooperative sugar mill societies of the state on the supply of cane to the sugar mills. According to the Government Order, the 40% expenditure of the Cane Development contribution will be used in Management work, and the remaining 60 percent of the funds will be used for cane development works, providing quality seeds, fertilizers, medicines and agricultural implements etc. to farmers, as well as for the construction of sugar godowns.

He also informed that with this amount, cane development works will be done first. And after this, godowns will be constructed for sugar storage. Godowns rent will be paid by the cooperative sugar mills to the sugar mill Societies at the prevailing market rate. Under this scheme, sugar godowns are proposed to be constructed in 05 Cooperative sugar mills in the first phase. It is proposed to construct godowns of 1 lakh quintal capacity each at four cooperative sugar mills – Gajraula (Amroha), Belraya (Lakhimpur Kheri), Tilhar (Shahjahanpur) and Nanauta (Saharanpur) and of 50 thousand quintal capicity at Kayamganj (Farrukhabad).

Cane Commissioner told that both Sugar Mills and cooperative sugar mill societies will be mutually benefited by this arrangement. On one hand there will be savings in storage, transportation and road insurance expenses etc. in sugar mills, while on the other hand, cooperative sugar mill societies will generate a source of regular income in the form of rent from these godowns.

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