THE All India Sugarcane Farmers Federation(AISFF) has denounced the recommendations of the Commission of Agricultural Costs and Prices (CACP)  that sugar mills may be permitted to pay the Fair Remuneration Price (FRP) announced by the union government to the sugarcane farmers in instalments.

The AISFF in a statement issued to the press on October 21 stated that the recommendations aim to safeguard the interests of sugar mills by putting sugarcane farmers to great harm. The organisation said, “it is against the interests of farmers and calls for the rejection of this arbitrary, pro-corporate, anti-farmer recommendation.”

The AISFF targeted the NITI Aayog and said it has been pushing for amendments to the Sugar Control Act enabling the sugar mills to make payments in instalments. According to Sugarcane Control Act 1966, sugar mills have to pay the dues to the farmers within 14 days of the procurement. In case of default, dues are to be paid to the farmers with 15 per cent interest. This Act is being diluted by the union government in favour of sugar mill owners.

The AISFF further indicted the sugar mills for not paying the farmers dues for more than a year. The statement further said “Farmers need not pay interest on their loans availed from co-operative societies if they pay back their loans within 15 months. They have to pay full interest for the entire 15 months if the due date is exceeded even by a day. If the recommendation given by the CACP is accepted then the sugarcane farmers will not be able to avail of any interest-free crop loan in the future.”

The AISFF mentioned that presently sugarcane dues to the farmers stand at about Rs 23,000 crore across the country. If the recommendations given by CACP to pay the dues in instalments is accepted by the union government, the dues of sugarcane will increase further and sugarcane farmers across the country will be adversely affected. The union and state governments should ensure payment of sugarcane dues to farmers by the sugar mills within 14 days of procurement as per the provisions of the Act.