Maharashtra government considers Rs 187-crore transport subsidy to sugar mills

To regain the domestic markets of east and north east India lost to sugar mills from Uttar Pradesh, Maharashtra government will deliberate a proposal of giving transport subsidy of Rs 187 crore to the sugar mills. The scheme will be applicable to sale of sugar made to markets served by the railways and which are located beyond 800 kilometers from the sugar mills.

Shekhar Gaikwad, commissioner (sugar), Maharashtra said, "The sugar mills from Maharashtra have lost their traditional markets of the north eastern, eastern and northern states to mills from Uttar Pradesh making them unable to sell sugar as per the quota allocated to them. We have proposed a scheme of giving transport subsidy of Rs 1/kilogram of sugar sold using the railways at a market which is located more than 800 kilometers away." The total outlay of the proposed scheme is of Rs 187 crore.