Highlight
- The central government increased the FRP of sugarcane to Rs 305 per quintal for the 2022-23 season.
- CCEA approves cane FRP for sugar marketing year 2022-23 (October-September)
- Production cost of sugarcane in the marketing year 2022-23 is Rs 162 per quintal
The Cabinet Committee on Economic Affairs (CCEA) has approved the Fair and Remunerative Price (FRP) of sugarcane for the sugar marketing year 2022-23 (October-September) at Rs 305 per quintal with a basic recovery rate of 10.25 per cent.
A premium of Rs 3.05 per quintal has been provided for every 0.1 per cent increase in recovery above 10.25 per cent, while FRP will be reduced by Rs 3.05 per quintal for every 0.1 per cent decrease in recovery.
With a view to protect the interest of sugarcane farmers, CCEA has also decided that there will be no deduction in case of sugar mills where the recovery is less than 9.5 per cent.
Such farmers are likely to get Rs 282.125 per quintal for sugarcane in 2022-23, as against Rs 275.50 per quintal in the current sugar season 2021-22.
The production cost of sugarcane in the marketing year 2022-23 is Rs 162 per quintal.
“This FRP of Rs 305 per quintal at a recovery rate of 10.25 per cent is 88.3 per cent higher than the cost of production, ensuring a promise of giving farmers a return of over 50 per cent on their cost. The sugar season for FRP 2022-23 is current. Sugar season is 2.6 per cent higher than 2021-22.
(with inputs from agencies)
Read also: Nobody raises issue of increasing sugarcane MSP out of fear: Varun Gandhi
Read also: Uttar Pradesh: Government hikes sugarcane purchase price by Rs 25 per quintal