New Delhi, Jul 24 : The Cabinet Committee on Economic Affairs on Wednesday approved the sugarcane Fair and Remunerative Price (FRP) for 2019-20 season at Rs 275 per quintal for a basic recovery rate of 10 per cent.
The CCEA also approved to provide a premium of Rs 2.75 per quintal for every 0.1 per cent increase above 10 per cent in the recovery, Union Minister Parkash Javadekar told reporters after the Cabinet meeting here. He said the Cabinet reduced the FRP proportionately by Rs 2.75 per quintal for every 0.1 per cent decrease in recovery in respect of those mills where recovery is below 10 per cent and but above 9.5 per cent.
The Cabinet also decided to fix FRP for mills having recovery of 9.5 per cent or less at Rs 261.25 per quintal, the Minister said. The Cabinet, chaired by Prime Minister Narendra Modi approved the proposal in respect of determination of FRP of sugarcane payable by sugar mills for 2019-20 sugar season.
The FRP is based on the recommendation of the Commission of Agricultural Costs & Prices (CACP) as per its report of August 2018 on the price policy for sugarcane for the 2019-20 season. The CACP has recommended the same price for the 2019-20 sugar season as it was for the sugar season 2018-19.
The approval will ensure a guaranteed price to cane growers. The ‘FRP’ of sugarcane is determined under Sugarcane (Control) Order, 1966. This will be uniformly applicable all over the country. Determination of FRP will be in the interest of sugarcane growers keeping in view their entitlement to a fair and remunerative price for their produce.(UNI)