The cabinet approved a 4.41% price increase of 4.41% sugar mills must buy sugar cane from farmers in the season starting in October, thereby increasing it from Rs 340 earlier to Rs 355 per pound. The government said the fair and wage price (FRP) increase in sugar cane will benefit 50 million sugar cane farmers and 500,000 workers employed from sugar factories and related auxiliary activities.
The new FRP is suitable for a basic recovery rate of 10.25%, with a premium per punch being a premium per male punch, with a recovery of more than 10.25%, while the recovery rate of FRP is Rs 3.46 per quintal and a reduction of Rs 3.46 per punch.
However, no deductions are made when recovery is below 9.5%. The statement said that in the subsequent sugar season 2025-26, such farmers will receive 329.05/QTL of sugar cane.
The new FRP is suitable for a basic recovery rate of 10.25%, with a premium per punch being a premium per male punch, with a recovery of more than 10.25%, while the recovery rate of FRP is Rs 3.46 per quintal and a reduction of Rs 3.46 per punch.
However, no deductions are made when recovery is below 9.5%. The statement said that in the subsequent sugar season 2025-26, such farmers will receive 329.05/QTL of sugar cane.
The recovery rate is the amount of sugar obtained by sugar cane. The higher the amount of sugar extracted from sugar cane, the higher its price is on the market.
Meanwhile, sugar factories have been urging the government to raise the minimum selling price (MSP) of sugar, citing the Indian Association of Sugar Biology and Manufacturers (ISMA) that sugar production has reached 25.497 billion tons until the current sugar season (2024-25) to April 15.
