: Wednesday, 30 April 2025 7:09 pm
New DelhiThe Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, on Wednesday approved the increase of farmers’ Fair and Remunerative Price (FRP) to Rs 3555 per quintal for the 2025-26 Chinese season (October-September) for the 2025-26 Chinese season (October-September).
The FRP for the Chinese season 2025-26 is 4.41 percent more than the current Chinese season 2024-25.
FRP is a benchmark value. Under this, no sugar mill can purchase sugarcane from farmers.
There is also a provision of reduction of Rs 3.46 per quintal for every 0.1 percent increase in additional recovery of 10.25 percent and reduction of Rs 3.46 per quintal in FRP for a decrease of each 0.1 per cent in recovery.
The official statement said that the government has also decided to protect the interests of sugarcane farmers that no cuts will be made in sugar mills whose recovery is less than 9.5 per cent. Such farmers will get Rs 329.05 per quintal for sugarcane in the upcoming Chinese season 2025-26.
Sugarcane production cost (A2+FL) for Chinese season 2025-26 is Rs 173 per quintal. This FRP production cost of Rs 355 per quintal at a recovery rate of 10.25 percent is 105.2 percent more.
The Chinese sector is an important agro -based sector, which affects the livelihood of workers working in various subsidiary activities including agricultural labor and transport, besides about 5 million sugarcane farmers and their dependents and about 5 lakh employees working directly in sugar mills.
Out of sugarcane dues worth Rs 1,11,782 crore payable in the previous Chinese season 2023-24, farmers have been paid about Rs 1,11,703 crore till 28 April this year, ie 99.92 percent sugarcane dues have been paid.
Out of sugarcane dues worth Rs 97,270 crore payable in the current Chinese season 2024-25, farmers have been paid about Rs 85,094 crore till April 28, which is 87 percent of the sugarcane dues being paid.
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