Mumbai: Chief Secretary Sumit Mullick has asked for a report from Sugar Commissioner Sambhaji Kadu-Patil on the alleged cooking of accounts books by sugar mills, as claimed by farmer organisations. He has assured of action if such instances are found. The report will have to be submitted before the next meeting of the Sugarcane Rate Coordination Committee, which met on Wednesday.
Farmer organisations are alleging that prices that sugarcane farmers get from sugar mills depends on the price of sugar. “In reality, the by-products include molasses, biogas and even ethanol. Mills sell these products as well, but don’t pay sugarcane farmers,” Shetkari Sanghatana leader Raghunathdada Patil said.
It has also been alleged that mills falsely claim the by-products are used as fuel. “Where does the money go? Sugar factories get handsome amounts through sales, which should be shared with farmers,” Lok Sabha MP Raju Shetty said.
According to an estimate, this leads to a loss of ₹1,000 to ₹1,500 per tonne for farmers. “The balance sheets are fudged at the mill level, and even government officers are sometimes part of this. The government must conduct an inquiry into this. If found true, action should be taken against those factories,” Mr. Patil said. “We will be meeting again before the sugarcane season ends. If the government fails to take action against factories by then, we will approach the court.”
