Nepal: Indushankar pays over Rs. 1.37 billion to sugarcane farmers

Sarlahi: Indushankar Sugar Industry, based in Hariban, has paid more than Rs. 1.37 billion to sugarcane farmers for their produce this season, reports The Rising Nepal.

According to Thakur Prasad Nepal, the industry’s administrative manager, all payments for sugarcane supplied up to February 26 have been transferred to farmers’ bank accounts.

This year, the industry has ensured that payments are made within a week of purchase. Yog Narayan Rajak, the sugarcane manager, reported that the industry crushed 2.651 million quintals of sugarcane between December 12 and February 26. The mill plans to continue operations until mid-March, aiming to process a total of 3 million quintals this season.

Due to declining sugarcane production, sugar mills have been rushing to procure crops from farmers. With limited supply, mills are ensuring timely payments to maintain smooth operations.

Among the three sugar mills in Sarlahi, farmers say Indushankar Sugar Industry is recognized for its prompt payments. Similarly, Mahalaxmi Sugar Industry in Godaita and Annapurna Sugar Industry in Bagdaha and Dhankol have also continued their practice of making payments without delays.

As per the government-set price, sugar mills are paying Rs. 585 per quintal of sugarcane. The government has also promised an additional Rs. 70 per quintal as a subsidy. However, Kapilmuni Mainali, president of the Nepal Sugarcane Producers Association, expressed concerns over the uncertainty surrounding when farmers will receive the government subsidy.

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