Belagavi, Oct 26 Karnataka Chief Minister D K Shivakumar on Monday called for an amicable solution to the sugarcane farmers’ incentive demand, saying the state government, the Centre and sugar factory owners must jointly address the issue and protect the interests of both growers and the industry.
Addressing a meeting with sugar factory owners here, he said sugar prices had not increased in the last 10 years, causing mounting losses to farmers, whose demand for an incentive of Rs 1,000 per tonne has triggered protests in the state.
“We are not taking sides. If there are no sugar factories, farmers will suffer; if there are no farmers, sugar factories will suffer. We must protect the interests of everyone,” Shivakumar said.
He said the government had earlier decided to provide Rs 50 per tonne, while sugar factories would contribute an additional Rs 250 per tonne following pressure from the state. While about 80 per cent of the factories had complied, some had failed to honour the commitment and approached the courts, he said.
Farmers are now demanding compensation of up to Rs 6,000 per tonne of sugarcane, citing the lack of a price revision over the past decade and declining yields.
Shivakumar said he had met protesting farmers, along with district ministers and MLAs, at Kittur and heard their grievances. He said he would discuss the matter with all stakeholders and examine the difficulties faced by factory owners before arriving at a decision.
“The responsibility for resolving the issue rests with the sugar factory owners, the Union government and the state government. It is our duty to maintain peace in the state,” he said.
Pointing to the industry’s concerns over finances, banking, ethanol and electricity costs, he said the issue could not be resolved unilaterally and required consultations with all stakeholders.
“This is not a meeting to engage in politics; there are other platforms for that. We must find an amicable solution to this problem,” he said.
The CM said the state government spent Rs 20,000 crore annually on free electricity for farmers’ pump sets, with the expenditure expected to rise to Rs 32,000 crore this year amid deficient rainfall and increased power consumption.
He said he had discussed the issue with Union Minister Pralhad Joshi, who had taken note of the concerns of farmers in Karnataka, adding that a national-level decision was required as sugar production had declined and the industry faced domestic and international challenges.
Shivakumar also said he had discussed the matter with the Maharashtra Chief Minister, who agreed on the need to resolve it.
Earlier, speaking to reporters, Shivakumar said he would first hear the assessment of officials, consult farmers and elected representatives, and then take a decision on their demand for an incentive of Rs 1,000 per tonne.
He had also stressed the need for the Centre’s involvement, saying the state accounted for only 10 per cent of the responsibility for resolving the issue, while the Centre’s share was 90 per cent.
Sugarcane growers had staged a protest at Gurlapur in Belagavi district’s Mudalagi taluk on Sunday, blocking a state highway to press for the incentive.
(PTI News)
