Notices issued to eight sugar mills for FRP payment defaults

The sugar commissioner’s office, Nanded has issued notices to eight sugar mills in Nanded district, Latur district and Parbhani district for failing to clear pending Fair and Remunerative Price (FRP) payments to sugarcane farmers within the stipulated time, Agrowon reported. The action has been taken under Section 3(3) of the Sugarcane (Control) Order, 1966.

The Regional Joint Director (Sugar), Nanded, has directed the executive directors of the concerned mills to appear in person for a hearing. The move follows demands for strict action raised by Swabhimani Shetkari Sanghatana district president Hanumant Rajegore, who has been pressing for action against mills that defaulted on farmer payments.

According to fortnightly reports submitted up to January 31 for the 2025–26 crushing season, several mills in the Nanded division were found to have delayed FRP payments. These include Yogeshwari Sugar Industries, Baliraja Sakhar Karkhana, Shri Laxminrusinha Sugars LLP, Kapishwar Sugars and Chemicals, Kunturkar Sugars and Agro Pvt Ltd, and three units operated by Twenty One Sugar.

Earlier, a report published by Agrowon highlighted that FRP dues of ₹412 crore to sugarcane growers were pending. Taking note of the report, the Sugar Commissioner directed that notices be issued and hearings scheduled for the defaulting mills.

Under the Sugarcane (Control) Order, mills are required to pay FRP to farmers within 14 days of cane delivery. Reports indicated that this provision was not followed. The rules also provide for interest at the rate of 15 percent for delays beyond the stipulated period.

In view of this, the mills have been asked to submit explanations after due verification. Hearings have been scheduled at the office of the Regional Joint Director (Sugar), Nanded, at 11 am on February 13 and February 16. The notices state that senior officials of the mills must be present with all relevant documents and that no representatives will be allowed to appear on their behalf.

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