Sugarcane farmers in Andhra Pradesh have demanded a price of Rs. 3,500 per tonne for 8.5 per cent recovery for the current season that began in October.

The Federation of Sugarcane Growers’ Association has appealed to Andhra Pradesh Chief Minister N Chandrababu Naidu to convince the Union Government to announce the Fair and Remunerative Price (FMP) of Rs. 3,500 for the upcoming procurement season.

The association asked the State Government to convene a tripartite meeting, inviting growers, factory managements and the government officials to discuss various problems the sector is facing.

“We need some financial relief to tide over the severe crisis.

“We request the Government to pass on the purchase tax benefit of Rs. 60/tonne like in the past. It will reduce the financial burden to some extent,” NSV Sharma, Secretary of the Federation, told BusinessLine over phone from Hanuman Junction in Krishna district.

“The cost of production has been increasing significantly over the last few years. But the price we are getting is far less than what we are spending. While the farmers have been demanding Rs. 3,500 for the last four years, the factories have almost capped it below Rs. 2,700, causing huge losses to the farmers,” he said.

Memorandum

The Federation submitted a memorandum to the State Government, relating the problems the sugarcane sector was facing. The Federation leader said the factories should bear the cost of harvesting and transport as factories in some States do.