Minimum reserve price for reserved molasses will be decided by reverse calculation

582

A meeting of representatives of Sugar Mill Association and Country Liquor Distillers Association was organized in the Joint Chairmanship of Principal Secretary, Sugar Industry and Cane Development and Principal Secretary, Excise. In the meeting, the Sugar Mill Association apprised that, due to not quoting the proper rates of molasses in tenders by Distillers, the financial liquidity of Sugar Mills is being adversely affected and sugar mills are not having enough funds for making cane price payments. And it was also apprised that sugar mills will not be able to supply molasses on unviable rates.

For this, the representatives of Sugar Mill Association and Distillers Association were asked to solve the issue by sitting jointly so that lifting of reserve molasses and the revenue collection target of Government may not get adversely affected.

As both parties did not come to any amicable solution on the issue, it was decided by the Principal Secretary, Sugar Industries and Cane Development and Principal Secretary Excise, in joint meeting that the minimum reserve price for reserved molasses for bidding process will be decided by reverse calculation of ENA cost and molasses cost taken for deciding the price of country liquor. The reserve price for reserved molasses will be calculated by above formulae and tenders preceding will be completed accordingly. The bidding distillery will not quote the rates below reserve price fixed by above formula and sugar mills will have to deliver the molasses to those successful bidders who have quoted equal to or more than reserve price. It has also been directed that if any party deliberately try to create disturbance in the system for their selfishness then strict action will be taken against them.

To Listen to this News click on the button below the image

LEAVE A REPLY

Please enter your comment!
Please enter your name here