Hyderabad: Efforts to restart Telangana’s old sugar factories, especially the Nizam Sugar Factory (NSF) and the Nizamabad Cooperative Sugar Factory (NCSF), have stalled, reported Telangana Today.
The NSF, once a major sugar producer in Asia, shut down due to financial problems and a decrease in sugarcane farming. During the 2023 Telangana elections, Congress promised to revive the NSF and support sugarcane farmers. After winning the election, the government formed a committee to find solutions, led by Industries Minister D Sridhar Babu.
The committee was tasked with looking into financial issues, unpaid debts, and the needs of farmers. The government announced it would provide about $430 million rupees to pay off the NSF’s bank loans, but some believe this was just a political move before the parliamentary elections. They argue that a full revival would require around $7 billion rupees.
To create a plan for reopening the Bodhan unit, the government hired a consulting company to create a roadmap, with a report expected in early 2025. Officials also identified sugarcane farmers in Nizamabad, Medak, and Karimnagar to ensure future production. However, this initiative has slowed down, and farmers have lost hope of returning to sugarcane farming.
As farmers began questioning the government about the revival plans, Congress leaders attempted to reassure them with new deadlines. But currently, none of these factories have resumed operations. For farmers, the delays have caused significant financial hardship. Many have been forced to transport their sugarcane to private factories in Kamareddy or switch to growing rice.
Even though Telangana has high sugar recovery rates, the lack of working processing plants has made sugarcane farming unprofitable for many.
Farmers, including members of Rythu Aikya Vedikas, have expressed frustration over the delays. They saw no progress during the last sugarcane crushing season and have little hope for the upcoming season. With the future of the NSF and NCSF uncertain, sugarcane farmers are considering protests.
A local sugarcane farmer, speaking anonymously, said that farmers continue to grow sugarcane and sell it to private factories, like the one in Kamareddy. However, the costs of transportation are making it unprofitable. He criticized the Congress government for not keeping its promises, noting that the value of the land owned by the sugar factories has increased dramatically in the past decade.
“The land owned by the Bodhan factory is now in a rapidly growing urban area. It seems that political leaders are more interested in the real estate value of the land than in the long-term interests of the sugarcane farmers. It’s time to protect both the farmers’ interests and these valuable state assets,” the farmer said.
