New Delhi: The government on Wednesday announced hiking the sugarcane FRP by Rs 25 to Rs 340 per quintal for the 2024-25 season starting October. Fair and Remunerative Price (FRP) is the minimum price that mills have to pay to sugarcane growers.
The decision to increase the FRP of sugarcane was taken at the meeting of the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi. The Rs 25 per quintal hike is the highest by the Modi government and the move comes ahead of the general elections. Sugarcane is grown mainly in Maharashtra, Uttar Pradesh, and Karnataka.
Briefing the reporters after a meeting of the union cabinet, Information and Broadcasting Minister Anurag Thakur said this is a historic price of sugarcane which is about 8 per cent higher than FRP of sugarcane for the current season 2023-24. The revised FRP will be applicable with effect from October 1, 2024.
"India is already paying the highest price of sugarcane in the world. It is at 107 per cent higher than A2+FL cost of sugarcane," Thakur said, adding that the new FRP will ensure prosperity of sugarcane farmers. He said it re-confirms the fulfilment of the Modi government's guarantee to double farmers' income
The FRP has been determined on the basis of recommendations of the Commission for Agricultural Costs and Prices (CACP) and after consultation with state governments and other stakeholders.
