 |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
 |
|
|
Futures and Commodity Market News |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Sat May 17, 2008 |
|
|
Breaking financial news 24/7 courtesy of TradingCharts.com Inc. / TFC Commodity Charts |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
New Delhi, May 07, 2008 (Asia Pulse Data Source via COMTEX) -- The government is understood to have rejected the proposal to increase the minimum price of sugarcane to Rs 155 per quintal, which was recommended by the Commission for Agricultural Costs and Prices. "We have already fixed the Statutory Minimum Price (SMP) for 2008-09 sugar season," a senior government official said ruling out any further revision in the SMP. The CACP, which recommends the minimum support price for agricultural crops, has recommended an SMP of Rs 125 per quintal for sugarcane growers for 2008-09 season. The Centre has already announced the SMP at Rs 81.18 a quintal in 2008-09 season, which is same as previous year. It has also suggested that the government should offer a bonus of Rs 30 per quintal over and above the SMP to cane growers in the next season as it felt that mills may not be in a position now to bear the entire amount of Rs 155 a quintal. Commenting on the bonus recommendation, another senior government official said: "bonus is given to help increase the procurement of rice and wheat". The government does not procure sugarcane for buffer stock. It only fixes the SMP, which is the mandatory price to be paid to the farmers by sugar mills. Besides, states such as Uttar Pradesh are fixing higher 'State Advised Price'. In a note to the Food Ministry, CACP has warned that if Rs 155 per quintal is not paid to sugarcane growers, the area and production would come down drastically due to inter-crop price disparities and shortage of crop may force sugar mills to pay even higher price for cane in the coming years. Sugarcane is grown during the Kharif season and harvested in the winter as crushing starts from October. The government has kept the SMP unchanged for next season as industry is facing a glut situation from 2006-07 season, when output touched 28.3 million tons. Production is expected at 26-27 million tons in 2007-08. |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Copyright 2008 APU Newswire. All rights reserved. Please read the End User Agreement. News provided by COMTEX |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
