Inyet another anti farmer decisions, the Union Government has drastically slashedthe export subsidy on Sugar from Rs. 10.44 per Kg to Rs. 6 per Kg i.e.reduction by Rs. 4.44.
Themove by the Centre would cause losses to the tune of Rs. 2768 crore to thesugarcane cultivators and sugar mills. The export subsidy for the year 2020-21has been reduced to Rs. 6 per Kg whereas during 2019-20 it stood at Rs. 10.44per Kg.
Disclosingthis here today in a press communique, the Cooperation Minister S. SukhjinderSingh Randhawa has appealed to the Central Government to repeal this decisionwhich would prove detrimental to the interests of the farmers as well as thesugar mills. The Sugarcane cultivators and the sugar mills are already reelingunder the financial losses and they need some respite, said S. Randhawa.
TheMinister further pointed out that the Union Government had decided to provideexport subsidy to the sugar mills at the rate of Rs. 10.44 per Kg for the year2019-20 which was to result in Rs. 6828 crore accruing to the sugar mills ofentire country. But now this amount would be reduced to Rs. 3500 crore which isa crippling blow to both the sugar industry and Sugarcane cultivators.
Thepayments of the Sugarcane cultivators would be adversely affected to a largeextent with the decision, revealed S. Randhawa who further said that the UnionGovernment is also delaying the release of amount pertaining to export subsidyfor the year 2019-20 which in turn is causing further delay in releasing thebalance payment of the sugarcane cultivators of the country. An amount of Rs.60.31 crore pertaining to the Cooperative sugar mills of Punjab is also yet tobe released by the Centre, Randhawa added.