32 sugar mills delay billions of rupees in payments to farmers

Mills include JD Group, Rahim Yar Khan Sugar Mills, Alliance and other large groups

RAHIM YAR KHAN: Billions of rupees are still to be paid to hundreds of farmers of sugarcane by 32 sugar mills of Punjab in lieu of payments for their harvest in the current crushing season.

Sugarcane commissioner has issued show cause notices to these sugar mills. More than a month has passed since the end of the 2019-20 sugar crushing season but the payment of sugarcane farmers is still not paid by 32 out of 39 sugar mills in Punjab, which is worth billions.

The FIA is auditing the sugar mills and despite the governments’ clear instructions, 32 sugar mills have not yet paid billions of rupees to the farmers.

Punjab Cane Commissioner Nadeem Abbas told The Express Tribune that seven out of 39 sugar mills in Punjab have completed the payment. “Up to 90% of all payments have been made,” he said.

He maintained that show-cause notices have been issued to 32 Sugar Mills that have not cleared the dues of the farmers.

He warned that action would be taken against the defaulter sugar mills.

On the other hand, the farmers are worried about the delay in payment due to which they do not have money for the cultivation of Kharif crops especially cotton.

Mills owners have shown reluctance in clearing the dues of the farmers despite buying the sugarcane crop at subsided rats and selling sugar in the open market. Those associated with the agricultural sector are worried about other economic activities being affected by coronavirus.

Association for Protection of Farmers Chairman Sardar Yaqoob Sindhu has said delays in the payment of sugarcane farmers, despite strict directives from the government means the exploitation of farmers. “The government is helpless before sugar mafia,” he said.

Published in The Express Tribune, April 11^th, 2020.