Govt. hikes sugarcane FRP by ₹10 per quintal, Pg14

Key Highlights:

• The Cabinet Committee on Economic Affairs raised the Fair and Remunerative Price (FRP) of sugarcane by ₹10 per quintal for the 2026-27 sugar season.
• The new FRP is set at ₹365 per quintal for a basic sugar recovery rate of 10.25%.

Detailed Insights:

• The increase in FRP aims to ensure fair compensation to sugarcane farmers, encouraging higher production and supporting the sugar industry.
• The "Mission for Cotton Productivity" seeks to address challenges such as declining growth and quality concerns in the cotton sector, enhancing overall productivity.
• The FRP is determined under the Sugarcane Control Order, 1966, ensuring a guaranteed price to sugarcane farmers before the start of the sugar season.
• The sugar recovery rate is the amount of sugar produced from sugarcane during the crushing process, influencing the final price paid to farmers.

Key Concepts Involved:

• Fair and Remunerative Price (FRP): The minimum price that sugar mills are required to pay to sugarcane farmers, as determined by the government.
• Sugar Recovery Rate: The percentage of sugar extracted from sugarcane during the crushing process, affecting the FRP.
• Sugarcane Control Order, 1966: A legal framework ensuring fair prices and regulating the sugarcane industry in India.