Sugar Commissioner’s Crackdown Yields ₹369 Crore in Sugarcane Dues; ₹934 Crore Still Pending in Maharashtra

Following stringent directives from the state Sugar Commissioner, Maharashtra’s sugar mills have cleared ₹369 crore in pending farmer dues. However, 83 factories still owe sugarcane cultivators a substantial ₹934 crore.

KOLHAPUR | May 25, 2026 : Nearly two months after the sugarcane crushing season concluded, Maharashtra farmers still await significant earnings. Although regulations mandate disbursing the Fair and Remunerative Price (FRP) within fourteen days of harvest failing which fifteen percent interest applies arrears had severely multiplied. However, aggressive intervention by Sugar Commissioner Dr. Sanjay Kolte has forced mill operators to release ₹369 crore to distressed cultivators.

With April arrears peaking at ₹1,303 crore, farmer unions protested fiercely. Consequently, Dr. Kolte issued strict notices and conducted hearings for thirty-nine defaulting factories. Panicked by imminent administrative action, mill owners began clearing their debts. This sweeping crackdown marks the first instance in recent years where statewide sugarcane arrears have dropped below the ₹1,000 crore mark.

This season, 210 factories operated, crushing 1,043 lakh tonnes of sugarcane to produce roughly 99 lakh quintals of sugar. The total payable FRP, including harvesting and transportation, amounted to ₹40,646 crore. So far, ₹39,512 crore has been successfully deposited into farmers’ accounts, achieving a 97.69 percent payment rate.

Statistically, 127 factories have fully honored their FRP commitments. Seventy factories cleared between 80 and 99 percent of dues, while thirteen mills remain major defaulters, paying below 80 percent. While the recent ₹369 crore recovery provides essential financial relief, farmer unions continue questioning when the remaining eighty-three defaulting factories will completely clear the outstanding ₹934 crore deficit.

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