Government hikes MSP of Sugar to Rs 31 per kg for 2019-20

Speed Post News Network

New Delhi : With the view to benefitting Sugarcane farmers and in order to cleared their arrears/cane dues, the Union Government has decided to increase the Minimum Support Price (MSP) of Sugar from Rs 29 to Rs 31 per kg for the year 2019-20. This announcement was made by the Union Minister of Consumer Affairs, Food and Public Distribution, Ram Vilas Paswan on February 14, 2019, evening.

The Department of Food, Ministry of Consumer Affairs, Food and Public Distribution has made this key decision of increasing MSP by Rsget  2 in order to provide more liquidity to the Sugar Mills so that they are able to pay the arrears or dues to the Sugarcane farmers.

Addressing mediapersons after the announcement, Union Minister of Consumer Affairs, Food and Public Distribution, Ram Vilas Paswan asserted that the main objective of PM NarendraModi led government is to ensure farmers’ welfare and growth and this move is another step in that direction. Paswan expressed confidence that the hike in MSP will lead to increased income and savings for the Sugar Mills which will then be passed on to the Sugarcane farmers.

The Department of Food and the State governments will also be able to monitor the sale of Sugar at the new revised MSP rate so as to ensure that the Sugar Mills are utilising their increased liquidity to pay farmers’ dues. As on February 13, 2019, the Farmers’ dues amount to Rs 20,167 crores while the same computed at Fair & Remunerative Price (FRP) amounts to Rs 18,157 crore, according to a PIB release.