Dhampur Sugar on Wednesday welcomed government's Rs 5,500 crore package for the sugar industry and said that India has to export sugar right now as it's facing surplus amount of stock as of September 30.
In an interview to CNBC-TV18, Gaurav Goel, managing director, said, "There might be certain mills, which will not do the exports as per their quota. It's very important for the Indian sugar industry and for the farmers to be paid. The only way that can be done is to sent out the closing stock of sugar that we are seeing at the end of 2019. I hope that government puts in place a method by which sugar mills are forced to export this."
"The government has done a lot. I think the state that the sugar mills were in for the last 12-18 months, things have happened extremely well. There are few more things, which can solve the issue of arrears of sugar cane farmers, which are there as on date and will be there again next year. Secondly, selling price of sugar must be increased and thirdly, the exports to be compulsory for all the sugar mills," Goel said.
"The government needs to address the issue of payment of cane price to the farmers on time and next year’s Fair and Remunerative Price (FRP). Secondly, there is a huge inventory that we are going to have this year and next year, a large quantity has to move out of the country," said Abinash Verma, director general, Indian Sugar Mills Association.