Deadline set for sugar mills coming to an end; mills yet to clear sugarcane dues

Shamali: The deadline of October 15 set by Allahabad High Court to clear pending sugarcane dues is approaching, but still the mills are yet to pay the arrears. Earlier, by giving a big relief to cane growers, the Allahabad High Court had directed the Uttar Pradesh government to clear the cane dues with 15 per cent interest on it within a month.

Sugar mills in Uttar Pradesh owe around 4,700 crore rupees. As the deadline is round the corner, it seems clearing the arrears would be difficult for the mills.

Even Uttar Pradesh is stern on mills over pending cane dues. Issuing warning against the defaulter sugar mills, UP government had also set a deadline of October 31 to pay all the arrears of sugarcane farmers. Sugarcane minister Suresh Rana had stated that the pending dues of farmers would be settled before October end. And If the mills failed to clear dues, then recovery certificates will be issued to them and dues would be paid after selling sugar from their godowns.

Acting on a PIL filed by two farmers, the Allahabad High Court had instructed state government to clear dues of cane growers within a month. The petitioners had stated that they had borrowed loans from banks to grow the crop but are not in a position to repay as their dues are pending with mills.

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