Kolhapur, Oct 31 (UNI) Maharashtra Cooperation minister Patangrao Kadam today said government will not be providing assistance to private-run sugar factories in the state.
Speaking at a function, organised by the Rajarambapu Co-operative Sugar Factory near Islampur in Walva tehsil of the district, for commencing its sugarcane crushing season this year, Mr Kadam said a decision to this effect has been taken to encourage cooperative sugar factories and for welfare of sugarcane growing farmers.
He said the cooperative sugar factories in the state are facing some problems and announced a committee, headed by Mr P R Patil, Chairman of Rajarambapu Sugar Factory, to study the problems and submit a detailed report within three months to the state government for taking necessary steps.
Mismanagement in sugar factories will be not tolerated and proper action against those found guilty will be taken by the state government, he warned.
Speaking on the occasion, Maharashtra finance minister Jayantrao Patil said that the sugar factories must pay cane supplying farmers as per statutory minimum price, announced by the government.
Some sanghtanas are demanding price of Rs 1,800 per tonne to the farmers, he said, adding that the government has no objection if the factories are capable of paying the sum to the farmers.
''State government's financial condition is good and it is capable of extending all the help needed by the farmers. The government provided Rs 6,500 crore through sugar factories last year for the welfare of farmers,'' Mr Kadam said.
UNI BBK SR RL HT1920