After several reports and complaints from some millers and industry bodies that few sugar mills are selling the sugar below MSP (Minimum Selling Price), the Centre has sought action against such sugar mills.
In a letter issued to them on 20 March 2019, the Food and Public Distribution Department (DFPD) has said, “Sugar mills of your state may be advised to strictly adhere to directives of government regarding MSP of white/refined sugar and action may be taken for violation of Sugar Price Control Order, 2018.”
Speaking at the Sugar Conference 2020 organized by the Maharashtra State Cooperative Bank, Mr. Prakash Naiknavare – Managing Director of National Federation of Cooperative Factories Corporation shared his views on the issue of sugar mills selling sugar below the Minimum Selling Price. He said, the Food Ministry has asked cane commissioners of states to ensure that sugar mills do not sell sweetener below the MSP, which has been increased recently to Rs 31 a kilogram from Rs 29. The ministry has also directed the cane commissioners to delegate flying squads and the take strict actions against those sugar mills held selling below the Minimum Selling Price of sugar by blacklisting them and abstaining those sugar mills from the benefits provided by the Government. The Government has also taken into consideration to cancel licenses of these mills selling sugar below the Minimum Selling Price.”
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