Sugar mills in Maharashtra have paid out 86 for each cent Truthful and Remunerative Price tag (FRP) to sugarcane farmers. Out of 187 mills that commenced crushing time 74 sugar mills have paid out a hundred for each cent FRP.
According to the knowledge released by the State Sugar Commissioner business office, mills had to pay ₹16,275 crore to farmers by February end of which ₹13,917 crore have been paid out. FRP arrears are of ₹2,367 crore. There are 39 mills in the State which paid out fewer than 60 for each cent of the payable FRP.
The FRP is based on the expense of creation of sugarcane and an ingredient of assured financial gain as to go over the danger of sugarcane farmers. According to the Indian Sugar Mill Association (ISMA), the mark up higher than the expense of creation of sugarcane, at an all-India typical foundation is as superior as a hundred for each cent above the expense of manufacturing sugarcane.
The Sugar Commissioner has not slapped Profits Recovery Certification (RRC) notices to any sugar mills. The Sugarcane (Command) Purchase, 1966 has mandated payment of the cane rate inside fourteen days of provide by farmers. If mills fall short to make payment in the stipulated time, they have to pay 15 for each cent for each annum curiosity on the dues is payable.