Deadline ends: Uttar Pradesh yet to clear sugarcane dues

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Lucknow: October 15 deadline set by Allahabad High Court comes to an end, but still sugar mills in the Uttar Pradesh (UP), major sugar-producing state, have not cleared the sugarcane arrears.

Earlier, by giving a big relief to cane growers, the Allahabad High Court had directed the Uttar Pradesh government to clear the cane dues with 15 per cent interest on it within a month. The court had issued the order after hearing a petition filed by farmers from Uttar Pradesh.

According to the reports, sugar mills in UP owe around Rs 4,500 crore to sugarcane farmers in spite of multiple warning from the state government. Cane dues in the state are getting cleared at a snail pace, therefore UP Chief Minister CM Yogi Adityanath has served another deadline of October 31 for mills to clear the cane arrears. Keeping in view the delay in the payment clearing process, the CM has strictly instructed the officials that all the dues of cane growers should be paid by October end.

The rule mandates that FRP amount should be deposited to the cane growers bank accounts within 14 days after the sugarcane harvest is handed over to the mills’ owners, but they failed to do so. Sugar mills claim low sugar prices and poor financial condition as a reason in delay in clearing the cane dues.

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