Sugar mills would face extinction like textile mills in Mumbai, warns Sharad Pawar

As the refrain for a one particular-time payment of Good and Remunerative Rate (FRP) for sugarcane amplifies in Maharashtra, Nationalist Congress Bash (NCP) President Sharad Pawar currently warned that exaggerated calls for would land sugar mills in problems and the industry would confront the fate of textile mills in Mumbai.

Maharashtra sugar farmers have demanded that all mills ought to shell out one particular-time FRP and have warned of agitations if mills fail to fulfil the demand from customers. Talking to reporters in Mumbai, Pawar recalled the 1982 textile strike by staff in Mumbai just after which numerous mills were closed and some others moved out of Mumbai.

“Once Mumbai was the centre of the textile industry in the region. 1 of our colleagues insisted on impractical calls for and it led to the closure of mills. We had suggested these leaders in Condition legislature really don’t stretch to the limit. But the matter was stretched much too considerably. As a final result, most of the textile mills in Mumbai and Maharashtra closed operations endlessly,” he explained.

“This 12 months (sugar period) about 175 sugar mills will get started crushing period which continues for about three and half months. All these mills will develop sugar at once and if all mills carry the stock in the market place at the very same time selling prices are heading to collapse. There will be no demand from customers in the market place. Ultimately this is heading to have an impact on farmers. I request worried (farmer leaders) to understand the economics of mills,” explained Pawar.

“Mills really don’t have the ability to shell out (one particular-time FRP). But if they make your mind up to shell out, they will just take loans for it and shell out curiosity. This is farmers’ cash. 1 cannot deny the probability of mills landing in problems. Leaders ought to not do this,” explained Pawar.

He explained that sugar mills in Gujarat shell out 50 for every cent payment to farmers just after the cane is brought for crushing. A different 30 for every cent sum is compensated just after two months and the remaining sum is compensated just after the stock is marketed. Pawar explained that for numerous decades Maharashtra sugar mills followed the very same system. But in new occasions calls for and agitations for one particular time instalment have commenced.

Auction of mills was HC’s conclusion

Pawar refuted allegations that politicos like his nephew Ajit Pawar took defunct mills on lease at fewer cost. The HC had ordered the Condition to make sure that closed mills get started operations. The Condition Co-operative Lender and the federal government acted as for every the HC ruling, Pawar explained. He added that income-tax office officials have continued to raid residents of Pawar loved ones customers for the sixth consecutive day . He alleged that the BJP has realised that it cannot topple the Condition federal government and consequently is targeting men and women close to the ruling alliance leaders.

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