No takers for stocks in Belagavi district

Has the sugar turned sour? No buyer is coming forward to purchase sugar seized by the district administration under the provisions of the Karnataka Land Revenue Act to repay the dues of farmers who have supplied sugar cane to defaulting sugar factories.

The district administration had issued notices to 21 sugar factories and seized godowns of six factories for not clearing sugar cane dues of farmers in the past two years. Sugar auction proceedings have been initiated. 

But none of the buyers is coming forward to purchase the sugar stock. They have not even responded to e-tenders which had purchase date up to June 22.

Shivashakti Sugars in Ramdurga has dues of Rs 7.78 crore for the crushing season 2013-14 and Rs 26.60 crore for the year 2014-15. Two godowns which had sugar stocks of 22,105 quintals and 34,885 quintals, respectively, have been seized.

But none of the purchasers has come forward to purchase the seized sugar, tahsildar T A Dasar said. In Athani, two godowns of Renuka Sugars with 10,774 quintals of sugar have been seized. In Bailhongal, a godown of Someshwar Sugars, and at Munavalli in Savadatti taluk, a godown of Renuka Sugars have been seized.Sugar prices have been fixed at Rs 19 per kg.

Deputy Commissioner N Jayaram said the district administration procures sugar from factories under levy for distribution under the public distribution system. But the sugar seized cannot be utilised for levy. A difficult situation has arisen and it would be brought to the notice of the government, he said.