Rs 1,000 crore cane dues pending with mills in Kolhapur division

Kolhapur: Around Rs 1,000 crore in sugarcane payments remain pending with sugar mills in Kolhapur and Sangli districts even after the end of the crushing season in the Kolhapur division, farmer organisations have alleged, Lokmat reported.

The dues relate to the Fair and Remunerative Price (FRP) payable to farmers who supplied sugarcane to mills during the season. The delay has put financial pressure on farmers who rely on timely payments to repay crop loans taken from banks and cooperative credit institutions.

Farmer groups say many cultivators have been unable to repay instalments of crop loans on time due to the pending payments, resulting in additional interest burdens.

The crushing season in the Kolhapur division began in the first week of November, and farmers expected that payments for cane supplied would be cleared promptly so that they could settle their outstanding loans.

However, farmers claim that 29 sugar mills in the region still owe a total of about Rs 1,000 crore in cane payments.

Farmer organisations have also questioned the mills’ claims of “short margins,” pointing out that wholesale sugar prices have remained strong for the past two years. This year, sugar prices have largely remained stable in the range of ₹38–₹40 per kilogram in the wholesale market.

The Andolan Ankush Sanghatana criticised the authorities for not taking action on the issue.

Its president, Dhanaji Chudmunge, alleged that mill owners were misleading farmers by citing low margins despite favourable sugar prices and warned that protests could intensify if the pending dues are not cleared soon.

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