NEW DELHI: The National Federation of Cooperative Sugar Factories Ltd. (NFCSF), the apex body of sugar cooperatives, has urged the Central Government to immediately revise the Minimum Selling Price (MSP) of sugar. This demand comes in light of rising production costs, declining ex-mill sugar prices, and the increasing financial stress on sugar mills, which could soon lead to a crisis for sugarcane farmers. Meanwhile, the NFCSF applauded the government’s decision to permit the export of 15 lakh metric tons (LMT) of sugar for the Sugar Season 2025–26, stating that this move will address several issues. However, they highlighted the liquidity crisis faced by cooperative sugar mills, which could adversely affect sugar farmers. Harshvardhan Patil, the President of NFCSF, remarked that cooperative sugar mills are owned by millions of farmers, and sustaining the momentum of the current sugar season requires decisive support from the government at this critical time. “Early action from the government will enable mills to meet cane payment commitments, protect farmer incomes, and maintain confidence in the cooperative sugar framework,” he said. Patil also urged the government to allow an additional diversion of 5 LMT of sugar towards ethanol production, which could generate nearly Rs 2,000 crore. This would directly strengthen cash flows for the mills and facilitate timely payments to sugarcane farmers.
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