It is likely that the AAP government will increase the state advised price (SAP) for sugarcane by Rs 20-30 per quintal for the crushing season that begins in November.
Sugarcane growers in Punjab are currently offered a price per quintal between Rs 345 and Rs 360. According to AAP, the price of cane will be increased to Rs 380 per quintal before the elections. Private sugar mills have been failing to pay their dues to cane growers, who have protested for prices to increase to Rs 390 and Rs 400 per quintal.
There is a strong likelihood that the Bhagwant Mann-led government will honor its commitment to cane growers before the election. The Chief Minister will announce the SAP and make assurances regarding other cane growers’ demands on Monday, said Agriculture Minister Kuldeep Singh Dhaliwal earlier this week.
Sugar mills in the state, who have 70% of the crushing capacity, are opposing the move to increase the SAP.
By way of Inderbir Singh Rana of Rana Sugars (also an Independent MLA), the Punjab Private Sugar Mills Association sent the CM a letter urging him not to raise the SAP, as they were unable to afford anything beyond the FRP of Rs 305 per quintal at 10.25 percent sugar recovery.
