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CCEA Approves 4% Increase in Sugarcane FRP for This Season
May 01, 2025
|Financial Express Hyderabad
Sweet Deal
The government on Wednesday approved a 4% hike in fair and remunerative price (FRP) of sugarcane to be paid to farmers by the mills for the 2025-26 sugar season (October-September) to ₹355/quintal.
The approval by the Cabinet Committee on Economic Affairs (CCEA) is subject to base sugar recovery of 10.25%.
The CCEA also approved payment of a premium of ₹3.46/quintal for each 0.1% increase in sugar recovery above 10.25% and reduction in FRP of ₹3.46/quintal for every 0.1% decline in recovery.
However, the government has stated that there shall not be any deduction in case of sugar mills where recovery is below 9.5%. "Such farmers will get ₹329.05/quintal for sugarcane in the ensuing sugar season 2025-26," according to an official note.
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