Sugar price: Meet on Dec 17 to resolve deadlock

Belgaum: An air of uncertainty prevails over sugarcane prices in the state putting Chief Minister Siddaramaiah in a dilemma.

After his repeated attempts to fix a minimum support price for cane in consultation with the Centre failed, the CM has decided to hold a meeting of sugar mill managements on December 17 in a last ditch effort to resolve the price deadlock once and for all.

The sugar mills lobby managed to get huge loans released from the Centre but are still reluctant to pay  Rs 2500 per tonne of cane, the price fixed by the state government. President of Karnataka Rajya Raitha Sangh, Kodihalli Chandrashekhar who headed the agitation of cane growers during the recent winter session in Belgaum, said the government is expected to announce a satisfactory incentive for cane growers after the meeting with sugar mills on December 17.

Speaking to Deccan Chronicle, Sugar Minister Prakash Hukkeri said the government has done everything possible to solve the sugarcane crisis. Chandrashekhar however asserted that the high court has directed the government to hold talks with sugarcane growers to resolve the uncertainty relating to cane price.

“It is unfair of sugar mills to move the court opposing the demands of cane growers to pay Rs 2,500 per tonne, fixed by the government. The Centre has announced huge interest-free loans for sugar mills so that they can clear the  massive dues of cane growers. The government has also waived taxes imposed on purchase of cane,” he said.

According to him, the CM is also scheduled to meet leaders of cane growers’ leaders on December 18 in Bangalore to announce  government incentives for them. Many cane growers are desperately awaiting the CM's final decision before speeding up harvesting of the sugarcane crop.

Another section of cane growers from north-Karnataka have threatened to move the court in case the government announces less than Rs 3000 for each tonne of cane. ­