Sugarcane farmers hope to get price support from new goverment

Coimbatore: K Venkatachalam, a farmer whose family has been cultivating sugarcane in his five acre land in Erode for the past 50 years, turned to turmeric last year. He said he was forced to take this decision because sugarcane cultivation did not yield him any profits but only increased his debt burden.

"I had an agreement with an Erode-based sugar mill, but two-years-ago the company agreed to give only 2,250 per tonne," he said. "The money too was paid after a seven-month delay, which spiked the interest on the loan," he said.

Venkatachalam is hardly the first sugarcane farmer to veer away from the crop. Agriculture department statistics show that the acreage under sugarcane cultivation in the district has fallen by almost 30% in the past four years to around 768 hectares. There has been a steady decline in acreage when compared with 1,111 hectares under cultivation in 2014-15, 1,038 hectares in 2013-14, 1,458 hectares in 2012-13 and 1,427 hectares in 2011-12.

Farmers say the glut in the global production of sugarcane in the last two years had caused prices to fall, but politicians did not come to their rescue. Neither the state nor the Centre helped them tide over the crisis when it mattered. In January, DMK chief Karunanidhi demanded the state government take initiatives and ensure that sugar companies settle the dues.

Subsequently, chief minister J Jayalalithaa hiked the state advised price to 550 so that farmers would get 2,850 per tonne when added with the fair and remunerative price fixed by the Centre. But even that, farmers fear, will not end their woes as the companies are reluctant to settle even past dues. "Now we get a price of only 2,325 a tonne of which they deduct 750 for labour and transportation leaving us with only 1,500," he said. This year, the sugar mill with which he had tied up with failed to collect the crop, forcing him to find another buyer.

The DMK and the PMK, sensing the mood among the sugarcane cultivating community, have already announced raising the minimum support price to 3,500 per tonne and 4,000 per tonne.

The farmers mainly have three complaints - sugarcane factories not honouring the government fixed price of 2,850 a tonne; factories delaying their full payment by more than six months; and their loan interests going up steadily. "We want a government that will raise our minimum support price, force the companies to honour the price set by them or at least pay us the difference and waive off our loans completely," said Krishnapuram-based sugarcane farmer, M Ramalingam.

While farmers have welcomed the announcements made by the political parties, they still remain suspicious about their motive. "The crux of the issue is ensuring the companies honour this price and pay our dues regularly," said Ramalingam. "This present government did raise our minimum support price marginally, but they did not make the companies honour it because they are hand in glove with companies," said Venkatachalam.

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