Karnataka: Maintain transparency in leasing process of sugar mills, say farmers’ leaders

Belagavi: Farmers’ leaders in Karnataka have urged the State government to ensure transparency in the leasing process of two cooperative sugar factories in Belagavi district. The Hiranyakeshi Cooperative Sugar Factory (HCSF) and the Malaprabha Cooperative Sugar Factory (MCSF) are set to be leased, following decisions made during their recent general body meetings, reported The Hindu.

However, leaders from the Karnataka Rajya Raitha Sangha and Krishik Samaj have expressed concerns and called for sugarcane suppliers to be fully involved in the process. Sidagouda Modagi, president of the Krishik Samaj, said the lease should only proceed if the company participating in the tender proves it can operate the factory profitably. “We are suspicious that some company that wants to regularise its losses does not end up getting the unit. It has happened in the past in northern Karnataka. Farmers will be betrayed, if that happens again,” he said.

Modagi also urged the State government to intervene in the leasing process and the overall management of the factories. “Sugar factories are overseen by three different ministries—sugar, cooperation, and industries—which makes regulation difficult. We have been asking for a single point of control, and we hope the government listens to us,” he said. He also pointed out that MCSF needs government support to increase its sugar and ethanol production capacity, and asked for close monitoring of the new management.

 

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