Dular States should be allowed henceforth to fix the issue price of PDS sugar, while the existing subsidy to states for PDS sugar transport and the difference between the levy price and the issue price would continue at the existing level, augmented by the current level of implicit subsidy on account of the difference between the levy price and rangarjan open market price. My Saved Articles Sign in Sign up. To look at this one must look into the production lineup of sugar. The kisan Jagriti Manch members said that co generation and ethanol production should be made mandatory for each mill and soft loans should be provided to millers for setting up these units. Your Reason has been Reported to the admin. And just the converse of this, the sugar mills have to purchase sugarcane from reserved areas.
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How does Government control Sugar Pricing in India? There is a lot of control by the government both state and centre over the sugar industry. To look at this one must look into the production lineup of sugar. Let us understand the sugar producing process first. This simple diagram will explain the process Now the government control on the major aspects can be visualized easily.
So the control by government at every stage is: Stage 1: Crops and Farmer The farmers must sell their produce to the nearest mill. And just the converse of this, the sugar mills have to purchase sugarcane from reserved areas. Stage 2: Sugar Mills: Mills must have a distance of 15kms between them. Pricing of Other products The other products such as Molasses, Bagasse, Press Mud are very useful side products of sugar industry. Their remuneration to the farmer is not fixed and varies with the time.
Packaging The sugar must be packaged in jute bags. Market The market is also heavily government controlled. The export and import of sugar is decided by the government depending upon the domestic demand.
This is the minimum price that they pay to the farmers for the sugarcane. Difference between two:.
[Economy] Sugar Pricing and Decontrol, Rangarajan Committee, FRP vs SAP meaning, issues, explained
We have met with all the representatives of sugarcane growers, various state governments. In its previous meeting held early this month, the expert committee had almost agreed on broad issues, including freeing the sugar sector in phases. On January 27, Prime Minister Manmohan Singh set up an expert committee, under chairmanship of Rangarajan, to examine issues related to decontrolling the sugar sector. The sugar industry is under government control, right from the level of production to distribution. In early January, the representatives of the apex sugar industry bodies ISMA and NFCSF had sought partial decontrol of the sector, including freedom to sell sugar in the open market and doing away with the levy obligation for the Public Distribution System. Under the levy obligation, sugar mills are required to sell 10 per cent of their output to the government at below- cost rates for supply to ration shops. Mills supply levy sugar at 60 per cent of the cost of production, resulting in an annual industry loss of about Rs 2,, crore.
How does Government control Sugar Pricing in India? There is a lot of control by the government both state and centre over the sugar industry. To look at this one must look into the production lineup of sugar. Let us understand the sugar producing process first.
C RANGARAJAN COMMITTEE REPORT ON SUGAR PDF
The report was submitted to Singh on Wednesday and will now be examined by the food ministry, after which it will go to the cabinet. Such research analyst may not be associated persons of the U. Prof Panwar also stressed on doing way the system of release mechanism of sugar produced in mills to make the industry financially competitive. Indian Sugar Millers Association. In reliance on the exemption from registration provided by Rule 15a-6 of the U.
Report on sugar decontrol by month-end: Rangarajan
Juktilar Employment is also generated in various ancillary activities wugar to transport, trade servicing of machinery and supply of agriculture inputs. Mill distance Do away with minimum distance between mills. The information contained herein is based on publicly available data or other sources believed to be reliable. To look at this one must look into the production lineup of sugar. The FRP of sugarcane payable by sugar factories for each sugar season from to is tabulated below: This was a guest post by Mr. Implementation of Recommendations of Dr. A scheme was notified on There should be no regulatory hurdles preventing sugar mills from selling their surplus power to any consumer.