Notice to sugar factories

Minister for Co-operation H S Mahadeva Prasad on Friday said that notices would be issued to sugar factories to pay up the dues they owed to sugarcane farmers as ordered by the High Court of Karnataka. 

Addressing reporters here, he said that around 60 sugar factors had defaulted payment to the tune of Rs 1,802 crore to the farmers. The government had fixed Rs 2,500 per tonne as Fair and Remunerative Price (FRP) for buying sugarcane from farmers in 2013-14. Only four factories have paid the price fixed by the government, he said. 

The government has fixed FRP in the range of Rs 2,200-2,900 per tonne, depending on the yield and transportation cost, for the 2014-15 crushing season, he added.