Significant attention is on the sugarcane farmers as the government announces a record payment of $105.08 per tonne for the 2023 crop, which is expected to benefit them during the Diwali season.
The Ministry of Multi-Ethnic Affairs and Sugar Industry recently stated that this increase reflects the government’s dedication to supporting the sugarcane farming community. Earlier this year, farmers received $21.75 per tonne in May, which brought the total for the 2023 crop to an unprecedented $101.08 per tonne, the highest in history.
While an additional $2.57 per tonne was initially scheduled to be issued before Diwali, the government decided to enhance this amount by adding $1.43 per tonne, thus raising the total payout to $4 per tonne and achieving a historic payment of $105.08 per tonne.
Sugar Minister Charan Jeath Singh highlighted that this decision was made in response to the severe difficulties farmers face due to climate change and challenges related to production increases. He emphasized the historical significance of the sugar industry to the economy, which used to be a primary driver supporting thousands of families.
However, the industry has faced declines since the expiration of preferential pricing under the European Union’s Lome Convention, leading to a drop in active farmers from about 21,000 a decade ago to approximately 12,632 in 2013, according to the Sugar Cane Growers Council. This reduction is attributed to several factors, including unrenewed land leases, reduced profits from rising cultivation costs, and increased prices for fertilizers.
Despite these challenges, there is hope that the generous payout will motivate farmers to increase their production. However, there is a call for government incentives to further encourage farmers to grow more sugarcane.
The industry is faced with complex issues that require immediate attention, including competition from other sugar-producing countries and internal challenges related to transportation and land dynamics. Discussions about transportation improvements and the need for more sugarcane farmers highlight the necessity for strategic planning and political will to revitalize the sector.
The situation raises a crucial question: Is there the political determination to effect meaningful change in the sugarcane industry?
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