Sugarcane Farmers' Demands Under Review As Centre Forms Panel On Prices, Weighment & Recovery

New Delhi, Oct 14: The Centre has constituted a committee under the chairmanship of NITI Aayog's former Member, Prof Ramesh Chand, to examine issues raised by sugarcane farmers and recommend appropriate measures for addressing their concerns.

The committee, which also comprises the Agriculture Commissioner, Ministry of Agriculture and Farmers Welfare, the Joint Secretary, Sugar, Department of Food and Public Distribution, and the Joint Secretary, Legal Metrology, Department of Consumer Affairs as members, will examine the demand for an increase in remunerative returns to sugarcane farmers, taking into account cultivation costs and other relevant factors.

Sugar pricing and mill viability

It will also examine the demand for revision of the ex-mill Minimum Selling Price (MSP) of sugar in the context of sugar production costs, market realisations, and the financial viability of sugar mills.

Other key areas that the committee will examine include existing mechanisms for testing and reporting sugar recovery, measures to ensure transparent verification of recovery, and prevailing sugarcane weighment practices at sugar mills, including the adequacy of calibration, inspection, and verification mechanisms.

Mechanised harvesting and farmer payments

The committee will also examine prevailing practices relating to deductions from the weight of mechanically harvested sugarcane and assess the extent of actual losses, if any, arising from mechanised harvesting. It will evaluate the financial impact of the present practices on the cane price payable to farmers and may consider any other related matters deemed necessary.

Stakeholder consultations and recommendations

The committee will consult all stakeholders, including farmers’ representatives, sugar mill associations, state governments and other experts or organisations, as considered necessary. The committee will submit its report, containing its findings and specific recommendations, as early as possible, for consideration by the competent authority.

The constitution of the committee follows the decisions taken during a meeting of representatives of sugarcane farmers from Karnataka and Maharashtra with the Union Ministers of Agriculture and Farmers Welfare and Consumer Affairs, Food and Public Distribution.

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Ramesh Chand's agricultural policy expertise

Prof. Ramesh Chand, an eminent agricultural economist and public policy expert, served as a NITI Aayog Member from 2015 to 2026 and previously as Director of ICAR-NIAP and Member of the Fifteenth Finance Commission. He has extensive expertise in agricultural development, farmers’ issues, food security, agricultural markets and pricing policy.

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