GoM on sugar discusses problems of mills and cane farmers
A Group of Ministers on Wednesday met and discussed ways, including fiscal incentives to mills, to deal with the difficult situation arising out of glut in sugar supplies and its impact on cane growers.
By PTI |
NEW DELHI: A Group of Ministers on Wednesday met and discussed ways, including fiscal incentives to mills, to deal with the difficult situation arising out of glut in sugar supplies and its impact on cane growers.
The GoM, headed by Minister of External Affairs Pranab Mukherjee, is understood to have discussed the proposal to allow sugar mills to retain the central excise duty on free sale sugar for three years from October this year.
Petroleum Minister Murali Deora, who attended the meeting, told reporters that oil companies would be asked to increase the procurement of ethanol, a by-product of sugarcane used for blending in petrol.
"We are trying to procure more ethanol but not getting so much," Deora said. In its last meeting in July, the GoM had recommended that a 5 per cent blending of ethanol with petrol should be made mandatory for the oil companies. The decision is, however, still awaiting the approval of the Cabinet.
The discusssion also covered the possibility of exporting ethanol, if required with government support. Agriculture Minister Sharad Pawar declined to give the details of the GoM meeting.
The GoM, headed by Minister of External Affairs Pranab Mukherjee, is understood to have discussed the proposal to allow sugar mills to retain the central excise duty on free sale sugar for three years from October this year.
Petroleum Minister Murali Deora, who attended the meeting, told reporters that oil companies would be asked to increase the procurement of ethanol, a by-product of sugarcane used for blending in petrol.
"We are trying to procure more ethanol but not getting so much," Deora said. In its last meeting in July, the GoM had recommended that a 5 per cent blending of ethanol with petrol should be made mandatory for the oil companies. The decision is, however, still awaiting the approval of the Cabinet.
The discusssion also covered the possibility of exporting ethanol, if required with government support. Agriculture Minister Sharad Pawar declined to give the details of the GoM meeting.
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