Bijnor, Uttar Pradesh: Sugar mills from the district paid cane bills worth Rs 68.18 crore to the sugarcane farmers on Tuesday. It will give relief to the farmers who were demanding payment of pending cane arrears.
Sugarcane crushing is in the last phase in Uttar Pradesh. Mills in the state produced record sugar production, but coronavirus has impacted the sugar industry in India. And sugar mills are finding it difficult to sustain as sugar sales are down, which has created liquidity problem for them. Therefore they are unable to clear cane dues.
District Sugarcane Officer Yashpal Singh said that Barkatpur sugar mill has paid Rs 5.50 crore, Bundaki sugar mill cleared arrears worth Rs 13.95 crore, Bahadarpur sugar mill paid Rs 8.52 crore, Bilai sugar mill paid Rs 6.39, Bijnor sugar mill paid Rs 2.16 crore and Seohara sugar mill paid Rs 31.65 crore to the cane farmers.
The demand for sugar has been reduced as the industries like cold drinks, ice cream, bakeries and sweet shops are shut due to lockdown. As sales are down, sugar stocks are piling up in warehouses. And also sugar mills are finding it difficult to clear cane payment due to financial scarcity.
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