Sugar to turn sour: Price set for an increase, import duty also to soar
The government yesterday announced a series of measures for the sugar industry. There will be an increase in the import duty by 15 – 40 percent, to improvise the financial health of the industry but may end up pushing the price of the sweetener by Rs 2-3 per kg for consumers.
industry is presently receiving zero-interest load from banks. The
BJP govt will soon start working on the package, which includes a
loan package of around Rs 4,400 crore, doubling the ethanol blending
level in petrol to 10 percent and extension of export subsidies till
September, even at the risk of attracting penal action at the World
Trade Organization, reported The Times of India.
Vilas Paswan, Food Minister said that the benefits will be enjoyed by
those mills only which guarantee that they will clear the arrears of
cane garners. But these benefits will be provided to set of producers
with certain limits. "All these decisions were unanimous...If
the industry gives in writing today, we will put into execution
whatever we have announced today. It all depends on the industry now
by when can they pay the farmers, they will receive the aid
accordingly," said Paswan.
number of ministers attended the meeting where the package was
cleared, including road transport minister Nitin Gadkari. During the
election campaign, Narendra Modi had promised to keep its commitment
to cane growers in Uttar Pradesh, it may be for the same reason that
such measures has been announced.
claim that the focus is also on Maharashtra, where the polls is set
in the next three months.