Maharashtra : Patil urges Fadnavis to address sugar mills’ dues, restructure Rs 13,000 crore loans

Chhatrapati Sambhajinagar: Maharashtra Cooperation Minister Babasaheb Patil has requested Chief Minister Devendra Fadnavis to hold a meeting to discuss pending issues affecting the sugar industry, including unpaid cane dues to farmers and payments to sugarcane workers, Loksatta reported.

In a letter to the Chief Minister, Patil said the state government should provide a subsidy of Rs 500 per tonne of sugarcane so that sugar mills can clear pending payments to farmers, harvesting labourers and other workers.

He also called for the restructuring of loans worth about Rs 13,000 crore taken by sugar mills and asked the government to direct the state bank to take steps in this regard. In addition, he proposed a Rs 5,500 crore scheme to provide pre-season loans to the industry.

According to Patil, sugar mills have sought a two-year moratorium on loan repayments, along with a 12-year repayment period.

The minister further said mills with co-generation power projects should receive a subsidy of Rs 1.50 per unit this year, similar to the support provided during the 2023–24 season. He also suggested that water charges for distillery units attached to sugar factories should be calculated at rates applicable to processing industries.

Patil has also proposed setting up a joint committee of the sugar commissioner and agriculture commissioner to streamline the planning and use of harvesting machines.

He requested the Chief Minister to allocate time for a meeting with a delegation of cooperative and private sugar mill representatives ahead of a proposed discussion at the state sugar federation, noting that mills are facing serious difficulties during the current crushing season.

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