The government might provide export incentives for about 14 lakh tonne of sugar, union minister for consumer affairs, food and public distribution, Ramvilas Paswan said at an ASSOCHAM event held in New Delhi.
“Our department’s view is that we should provide subsidy for raw sugar exports and we have circulated the paper in the Cabinet for a meeting,” said Paswan while inaugurating the 13th Commodity Futures Market Summit organised by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).
“Till now our opening stock is about 72 lakh tonne and our production target is 250 lakh tonne which might increase, while 248 lakh tonne is for consumption so with remaining two lakh tonne we will have total sugar surplus of about 74 lakh tonne but since October-December is slack season so we need to keep sugar stock with us and if we keep about 20 lakh tonne for each month than it would come to 60 lakh tonne and so the remaining 14 lakh tonne could be exported,” informed the minister.
On the announcement of sugar subsidy scheme, Paswan said, “Last year it was Rs 3,300 per tonne then it came down to Rs 2,200 and then it was revised to Rs 3,371 and now we are working on how much we can keep this time round.”
With regards to payment of arrears due to sugar farmers by millers, the minister said, “Central government’s hands are tied in this regard but we are giving facilities whatever they had asked for.”
He also said that the government was reviewing the Agricultural Produce Market Committee (APMC) Act to create a common national market to help protect interests of both the farmers and consumers.
Paswan further said that his ministry would recommend the finance ministry to remove the commodity transaction tax (CTT) and to bring a bill on Forwards Contract Regulations Act (FCRA).