In a surprise late-night briefing on Thursday (21st February), the Centre announced a slew of incentives for sugarcane farmers following a key meeting of the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi.
At the briefing held by Union Minister Anurag Thakur, the Centre announced the Fair and Remunerative Price (FRP) of sugarcane for Sugar Season 2024-25 at Rs 340 per quintal at the sugar recovery rate of 10.25%.
“This is historic price of sugarcane which is about 8% higher than FRP of sugarcane for current season 2023-24. The revised FRP will be applicable w.e.f. 01 Oct 2024,” the government stated.
The government pointed out that India is This is historic price of sugarcane which is about 8% higher than FRP of sugarcane for current season 2023-24. The revised FRP will be applicable w.e.f. 01 Oct 2024.
It added that the decision is going to benefit more than 5 crore sugarcane farmers (including family members) and lakhs of other persons involved in the sugar sector.
Elaborating further on the implications of the decision, the Centre stated that sugar mills will now pay FRP of sugarcane at Rs 340 per quintal at a recovery of 10.25%.
“With each increase of recovery by 0.1%, farmers will get an additional price of Rs 3.32 while the same amount will be deducted on reduction of recovery by 0.1%,” the government said.
It added that however, Rs 315.10/quintal is the minimum price of sugarcane which is at a recovery of 9.5%. “Even if sugar recovery is lesser, farmers are assured of FRP at Rs 315.10/quintal,” the Centre stated.