Home India Ministry of Consumer Affairs, Food and Public Distribution Parliament Question: Status of Sugarcane Cultivation in Andh...
Date: 2025-08-06 Category: Not Applicable State: Union Government Country: India

Parliament Question: Status of Sugarcane Cultivation in Andhra Pradesh

Issued by Ministry of Consumer Affairs, Food and Public Distribution · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This document presents the Indian government's response to Lok Sabha Unstarred Question No. 2968 regarding sugarcane cultivation in Andhra Pradesh. It includes data on sugarcane cultivation, operational sugar mills, pricing policies, payment delays, and financial assistance provided to sugar mills and sugarcane farmers. The response covers the last five years and includes state-wise details. The reference date for outstanding dues is July 31, 2025. Key Points / Main Content: * **Sugarcane Cultivation in Andhra Pradesh:** * Area under cultivation, production, and yield per hectare data are provided in Annexure I. * **Operational Sugar Mills:** * State-wise number of operational sugar mills, including Andhra Pradesh, is detailed in Annexure II. * **Fair and Remunerative Price (FRP) and State Advised Price (SAP):** * The Union Government declares FRP, which applies to Andhra Pradesh. There is no separate SAP for Andhra Pradesh. * FRP fixed by the Union Government and SAP are listed in Annexure III. * **Payment Delays to Sugarcane Farmers:** * Outstanding cane dues have been reported in a few states due to reasons like NCLT cases and ownership issues, but the dues are decreasing. * Details of outstanding dues in various states are in Annexure IV. * **Financial Assistance and Subsidies:** * The Central Government provides relief to sugar mills and farmers through policy interventions. * FRP is fixed annually, considering factors in the Sugarcane Control Order, 1966. * Diversion of surplus sugar to ethanol production improves sugar mills' financial conditions. * The government allowed sugar exports to prevent a fall in ex-mill prices and cane price arrears. * Assistance was released to sugar mills for marketing costs in 2020-21; state-wise details are in Annexure V. * The Minimum Selling Price of sugar was initially fixed at ₹29/kg and later revised to ₹31/kg. * Andhra Pradesh arranges loans for cooperative sugar mills for cane price dues and working capital. * Many states provide assistance like cane seed, fertilizers, and transport support to growers. * State Governments offer financial assistance like interest-free loans and subsidies to sugar mills. Impact Analysis: * Sugarcane Farmers: * Impact: Affected by pricing policies (FRP/SAP), payment delays, and financial assistance programs. * Action Required: Monitor payment status, utilize available subsidies, and engage with state support programs. * Sugar Mills: * Impact: Subject to FRP regulations, benefit from ethanol production incentives, export allowances, and financial assistance for marketing and operations. * Action Required: Adhere to FRP guidelines, explore ethanol production, utilize export opportunities, and apply for available financial assistance. * State Governments: * Impact: Responsible for facilitating loans, subsidies, and support programs for sugar mills and farmers within their states. * Action Required: Implement and oversee financial assistance programs, monitor the sugar industry, and ensure timely payments to farmers. * Central Government: * Impact: Responsible for setting FRP, regulating sugar exports, and providing financial assistance to the sugar industry. * Action Required: Continue to monitor and adjust policies to support the sugar industry and ensure fair prices for farmers.

Key Entities Referenced

Andhra Pradesh: A state in India, specifically mentioned in the context of sugarcane cultivation, sugar mills, and financial assistance. Fair and Remunerative Price (FRP): The minimum price for sugarcane fixed by the Union Government, as mentioned in the context of sugarcane pricing policy. Union Government: The central government of India, responsible for setting the Fair and Remunerative Price (FRP) for sugarcane. State Advised Price (SAP): The price of sugarcane declared by respective State Governments. Andhra Pradesh does not have SAP. Sugarcane Control Order, 1966: A legal order that specifies the factors to be considered when fixing the Fair and Remunerative Price (FRP) of sugarcane. Sugar Season 2024-25: Reference to the current sugar season for which data and policies are being discussed. Lok Sabha: The lower house of the Parliament of India, where the unstarred question related to sugarcane cultivation was raised. Ministry of Consumer Affairs, Food and Public Distribution: The Indian government ministry responsible for policies related to consumer affairs, food, and public distribution, including sugarcane.
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GOVERNMENT OF INDIA MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION LOK SABHA UNSTARRED QUESTION NO. 2968 TO BE ANSWERED ON 6TH AUGUST, 2025 STATUS OF SUGARCANE CULTIVATION IN ANDHRA PRADESH 2968. DR. BYREDDY SHABARI: SHRI APPALANAIDU KALISETTI: Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION be pleased to state : (a): the total area under sugarcane cultivation, production and yield per hectare during the last five years, year and district-wise for Andhra Pradesh; (b): the number of operational sugar mills in the country, State-wise including Andhra Pradesh during the last five years with reasons; (c): the Fair and Remunerative Price (FRP) fixed by the Union Government and the State Advised Price (SAP) declared by respective State Governments including Andhra Pradesh during the last five years, year-wise; (d): whether there have been delays in payments to sugarcane farmers by sugar mills in various States including Andhra Pradesh during the last five years and if so, the details of outstanding dues; and (e): the details of financial assistance, Subsidies, or relief provided to sugar mills and sugarcane farmers, State-wise including Andhra Pradesh during the last five years) year-wIse? ANSWER MINISTER OF STATE FOR MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (SHRIM ATI NIMUBEN JAYANTIBHAI BAMBHANIYA) (a): The total area under sugarcane cultivation, production and yield per hectare during the last five years, year and district-wise for Andhra Pradesh as received from the State Government of Andhra Pradesh is at Annexure I-2- (b): The number of operational sugar mills in the country, state-wise including Andhra Pradesh during the last five years is at Annexure-II. (c): The Fair and Remunerative Price (FRP) declared by the Union Government is applicable to the State of Andhra Pradesh, and there is no separate State Advised Price (SAP) in place. The FRP for sugarcane fixed by the Union Government and State Advised Price (SAP), wherever applicable, over the last five years, year-wise are at Annexure III. (d): Payment of cane dues to sugarcane farmers is a continuous process. Outstanding cane dues have been reported in few States due to various reasons like NCLT cases, ownership issues etc. However cane dues are decreasing continuously. The details of outstanding dues in various States for last five years are at Annexure IV (e): To provide relief to sugar mills and sugarcane farmers, the Central Government has taken various steps in the form of policy interventions from time to time as and when required, which are as under: Central Government fixes Fair and Remunerative Price (rRP) of 1) sugarcane every year having regard to the factors mentioned in Clause 3(1) of the Sugarcane (Control) Order, 1966. ii) Diversion of surplus sugar to production of ethanol led to improved financial conditions of sugar mills. iii) Government allowed export of 10 LMT of sugar during current Sugar Season 2024-25 (Oct – Sept) to prevent faII in ex-mill prices of sugar and accumulation of cane price arrears. IV) An amount of about Rs.3493 cr. Towards assistance to sugar mills for expenses on marketing costs including handling, upgrading and other processing costs and costs of international and internal transport and freight charges on export of sugar for 2020-21 was released. State-wise details are at Annexure- V-3- V) Minimum Selling Price of sugar was fixed initially at ? 29/ kg w.e.f 07-06-2018; and revised to ? 31/kg w.e.f 14-02-2019. Further, Andhra Pradesh has arranged loans to Coop. sugar mills for clearance of cane price dues and also towards working capital for running of the mills. Most of the other sugar producing states are also providing assistance by providing cane seed, fertilizers, pesticides, support for harvesting, transportation etc to their cane growers. State Governments are extending financial assistance„ interest free loan, interest subsidy etc to the sugar mills including co-operative sugar mill whenever necessary. 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LLI 85:gIRl=9ej59glbl8l=$ ac tB CS ac C aS ) aq) “jI-IRI-I'I'Idl6l6I=16161;IE >II LU a) < LL C L aU c ai a Sa)o Eg I-i ' C= D L aU c +\n 1 : $ E 10 }{: la>( 0a iiilg D C 3 X a) bC (9 gi}; E Ea (a 7) L ZU B Z J '=d a) > > IuI B Z +e1u C/) 1 < U) .'I„I-I„,I„I~I„I.,leI=lyle agAnnexure ll ANNEXURE REFERRED TO IN REPLY TO PART (b) OF THE UNSTARRED QUESTION NO. 2968 DUE FOR ANSWER ON 06.08.2025 IN THE LOK SABHA Statement showing number of operational sugar mills in the country, State- wise including Andhra Pradesh during the last five years nCm021 -221 State 2024-25 a 22 122 a 9 200 a = 79 L == 15 a 30 979 1 10 TF a 14 T L 15 T a 22 a 788 8 r 8575 5 67777 e 7 4474 1 4 c 222 2 a 1 1 1 1Annexure III ANNEXURE REFERRED TO IN REPLY TO PART (c) OF THE UNSTARRED QUESTION NO. 2968 DUE FOR ANSWER ON 06,08.2025 IN THE LOK SABHA Sugar season wise FRP of last 5 sugar seasons Sugar Season FRP (in Rs./qU.) Base Recovery Rate for FRP 2020-21 285 10 2021 -22 290 10 2022-23 305 10.25 2023-24 315 10.25 2024-25 340 10.25 State Advised Price for sugarcane for the last five su ar seasons (Rs/quintal) State Varie' mo 2021 -22 2022-23 2023-24 2024-25 Earl' 31 0 380 391 401 mI 300 360 370 381 391 Punjab Late 295 365 381 391 Earl 340 362 372 386 400 Haryana m1 335 355 365 379 393 Earl’ 325 350 350 370 370 Uttar Pradesh Normal 315 340 340 360 360 Reiected 310 335 355 355 na 327 355 355 375 375 Uttrakhand mo 317 345 345 365 365 Reiected 345 365 365Annexure IV ANNEXURE REFERRED TO IN REPLY TO PART (d) OF THE UNSTARRED QUESTION NO. 2968 DUE FOR ANSWER ON 06.08.2025 IN THE LOK SABHA Statement showing outstanding dues of sugarcane farmers by sugar mills in various States including Andhra Pradesh during the last five sugar seasons as on 31 .07.2025 Fjgures in Rs. Crores State 2020-21 2021 -22 2022-23 2023-2r2 Uttar Pradesh 0 22 53 3 Maharashtra 10 32 1 7 Karnataka 0 0 0 Gujarat 0 0 0 8 Tamil Nadu 0 0 0 11 ,I -I Bihar 4 0 0 0 3 Haryana 0 0 0 0 70 Punjab 0 28 0 0 373 Madhya 0 0 0 0 0 Pradesh Uttarakhand 0 0 0 0 69 Andhra 0 0 0 0 28 Pradesh Telangana 0 0 0 0 Chhattisgarh 0 0 0 0 51 Odisha 0 0 0 0 0Annexure V ANNEXURE REFERRED TO IN REPLY TO PART (e) OF THE UNSTARRED QUESTION NO. 2968 DUE FOR ANSWER ON 06.08.2025 IN THE LOK SABHA Statement showing State-wise assistance to sugar mills for expenses on marketing costs including handling, upgrading and other processing costs and costs of international and internal transport and freight charges on export of sugar for 2020-21 S.No. 1S tate Assistance (in Cr. Rs.) 1 Uttar Pradesh 1101.85 2 Maharashtra 1478.33 3 Karnataka 423.21 4 Gujarat 190.47 5 Tamil Nadu 28.4 6 Bihar 52.41 7 Haryana 70.73 8 Punjab 25.22 9 Madhya Pradesh 34.44 10 Uttrakhand 41.56 11 Andhra Pradesh 38.22 12 Telangana 8.16 Total 3493.0

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