Over 2,000 sugarcane farmers, affiliated to the Andhra Pradesh Rytu Sangham from 15 mandals in Parvathipuram revenue division, on Monday blocked vehicular traffic on the Vizianagaram-Raipur (NH-49) road, demanding settlement of their arrears to the tune of Rs. 34 crore by NCS Sugars Limited (formerly Nizam Sugars) at Latchaiahpeta .
The farmers gathered on the highway at around 11 a.m. and block the road for almost six hours, bringing the vehicular traffic into a grinding halt. The repeated pleas of Bobbili Sub-Divisional Police Officer Ishaq Mohammed to lift the road blockade did not yield any result. Finally, the farmers lifted the blockade only after the factory management has agreed, in the presence of Assistant Cane Commissioner who held talks with the management in the evening, to settle all arrears by June 20. To instil confidence among the farmers, the management disbursed Rs. 50 lakh.
Rytu Sangham State vice-president Marrapu Suryanarayana said that the NCS Sugars management did not settle payment for the sugarcane supplied to the factory in January, February and March this year. It also violated the agreement with the farmers in the past that it would make payments within 15 days from the date of supplying sugarcane to the factory.
Bank loanIt may be recalled that the management, without the knowledge of farmers, had borrowed crores of rupees as farm loans from national banks in the past and did not repay it. The issue came to light only after the sugarcane growers received notices from the banks. When the farmers staged dharnas at the factory and stopped supplying sugarcane, the management had agreed to repay the loan amounts directly to the banks.