States take measures to revive 202 sick sugar mills across the country

The Condition governments are taking different steps, like private, public partnerships and collaborations to revive non-operational sugar mills.

Recently, the Ministry of Customer Affairs, Food stuff and Public Distribution told the Lok Sabha that there are 202 non-operational sugar mills throughout the States when 493 mills are operational.

“In the case of private sector sugar mills, it is the responsibility of the entrepreneurs to consider essential steps to operationalise their closed sugar mills, and in case of co-operative/public sector sugar mills, the responsibility lies with the co-operative societies/respective point out governments” the Ministry said.

Maharashtra, 1 of the premier sugarcane manufacturing States, has handed the Resolution in 2002 and framed criteria to rejuvenate non-operational sugar mills and their allied units on retain the services of, partnership or collaboration basis.

In Karnataka, the governing administration has made a decision to lease out the ill cooperative sugar factories to private entrepreneurs on a extended-term lease. Eight cooperative sugar factories have been leased out to private entrepreneur so far.

The Gujarat governing administration has sanctioned a liquidity aid personal loan for Rs twenty five crore to the Vadodara District Cooperative Sugarcane Growers Union Ltd, to fork out sugarcane arrears to the farmers to endure this non-operational sugar mill in the recent sugar year.

The Andhra Pradesh governing administration has shaped a team of Ministers to review and counsel steps for the enhancement of the mills in the Condition. The Bihar governing administration has taken a plan selection to revive the ill sugar mills of the Bihar Condition Sugar Company Ltd by transferring them to private/public sector entrepreneurs on extended term lease as a result of bid course of action management.

According to the Central Federal government non-procedure of the sugar mills is generally attributable to no availability of ample sugarcane, uneconomic measurement of the plant, lack of modernization, the high cost of working capital, lousy restoration from sugarcane, lack of experienced management, overstaffing and financial crunch etc.