Panaji: The State government has officially discontinued the “Special Assistance cum Compensation Scheme” for sugarcane farmers, which had been in effect since June 2021. Moving forward, sugarcane will be procured at the Fair and Remunerative Price (FRP) set by the Central government, reported The Goan.
In a recent notification, Director of Agriculture Sandeep Fol Dessai confirmed the withdrawal of the scheme, stating that it was done with government approval. The scheme, which began on June 17, 2021, provided financial support to farmers for sugarcane cultivation. Over its five-year duration, the government paid approximately ₹40 crore to around 700 farmers.
The Goan had earlier reported, on February 12, about the government’s plan to discontinue the current scheme and replace it with one aligned with FRP rates.
To continue supporting sugarcane growers, the government has introduced a new two-year scheme titled “Assistance towards Sugarcane supplied by the sugarcane growers”, which will remain in effect until 2026-27. Under this initiative, sugarcane will be delivered to the Sanjivani Sugar Factory, where it will be weighed and farmers will be paid according to the FRP decided by the National Federation of Co-operative Sugar Factories Ltd., New Delhi.
Farmers are required to register with the sugar factory, and payments will be based on the exact quantity of sugarcane weighed at the factory’s weighbridge. However, the government clarified that it will not bear the cost of harvesting or transporting the sugarcane. These responsibilities will rest with the farmers.
The government-appointed agency will handle the procurement of the sugarcane.
“If any complaints arise regarding the implementation of the scheme, they will be addressed and resolved by the Minister for Agriculture. The decision taken by the Minister will be considered final,” the notification stated.
The original compensation scheme was introduced in response to the closure of the Sanjivani Sugar Factory in Dharbandora in 2019. It aimed to provide financial relief to affected farmers. Between 2020-21 and 2023-24, the government disbursed nearly ₹40 crore in total, with this year’s compensation still under review.
According to the Administrator, 731 farmers received ₹11.83 crore in 2020-21 at a rate of ₹3,000 per metric tonne. In 2021-22, 690 farmers were paid ₹10.28 crore at ₹2,800 per tonne. The following year, 665 farmers received ₹8.86 crore at ₹2,600 per tonne. Last year, ₹8.32 crore was paid to 682 farmers at ₹2,400 per tonne.
