Final sugarcane price in western Maharashtra may touch Rs 2,250 per tonne

PUNE: As the 2011-12 sugarcane crushing season has come to an end in the largest sugar-producing state, Maharashtra, the final cane price is likely to be between Rs 2,050 and Rs 2,250 per tonne in the western region. In the rest of the state, the first advance is likely to be the final cane price.

The fair and remunerative price (FRP) decided by the Centre for 2011-12 was Rs 1,461 per tonne for 9.5% sugar recovery and Rs 141 for every 1% increase in recovery. Maharashtra does not have a state advisory price like Uttar Pradesh.

However, the state government had come to an agreement with the farmers' organisations that the sugar mills will pay a cane price higher than the FRP. Within the state, there are three recovery-based zones. The cane price was decided at Rs 2,050 per tonne for the high-recovery zone of Kolhapur, Sangli and Satara in south Maharashtra, Rs 1,850 for the medium-recovery zone of Pune, Solapur and Ahmednagar, and Rs 1,800 for the low-recovery zones of north Maharashtra, Vidarbha and Marathwada.

Most of the mills in the Kolhapur region and the Pune-Solapur region paid the first advance of Rs 2,050 and Rs 1,850 per tonne respectively. Many mills in Ahmedngar district, however, paid the first advance in the range of Rs 1,500 to Rs 1,800.