Maha Govt directs sugar co-op mills not to make fresh recruitment till roadmap is cleared

Mumbai: Maharashtra government on Friday directed the cash-strapped sugar cooperative factories not to make fresh recruitments until a roadmap in this regard is cleared. The government said it was necessitated due to poor state of finances the cooperative sugar factories are unable to make the mandatory payment of a fair and remunerative price to sugarcane growers. Curb on fresh recruitment is also necessary so that cooperative sugar factories can restrict the burgeoning administrative expenses.

Further, election to the board of directors of few cooperative sugar factories is scheduled to take place in due course of time and therefor til the poll process is over they should not make any fresh recruitment.

Pramod Valanj, undersecretary in the department of cooperation, marketing and textiles today issued a government notification. Jaiprakash Dandegaonkar, chairman of the Federation of Cooperative Sugar Factories in Maharashtra told FPJ, ''The Federation welcomes government move. In a few sugar cooperative factories, the number of employees is in excess of the approved pattern.'' He informed that the present strength of employees is 2 lakh in the registered 165 factories of which 100 may take part in the ongoing crushing season.

As reported by FPJ, the state sugar industry is passing through a crisis. Because of drought and prolonged rains in some districts, the state sugar production is expected to be 5.7 million tonnes in 2019-20 against 10.7 million tonnes in 2018-19. Some have yet to make pay wages and sundry payments in view of financial stress. Federation of Cooperative Sugar Factories in Maharashtra, a representative body of 165 registered factories has said the situation would be grim in districts like Ahmednagar, Solapur and the Marathwada region where many factories won't be able to take part in the ongoing sugarcane crushing season.

The Federation has asked the state government to direct the Maharashtra State Cooperative Bank to provide a short-term loan to release export sugar which will help mills to reduce their inventories. It has urged the state government to provide transport grant of Rs 250 per quintal so that mills can sell in UP and other states in north India.

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