Mah CM moots private participation to revive Vidarbha sugar mills

Nagpur, Aug 21 (UNI) Maharashtra Chief Minister Vilasrao Deshmukh has sought private participation to revive the defunct sugar factories in the Vidarbha region.

Speaking at a 'meet the press' programme hosted by Nagpur Union of Working Journalists (NUWJ) here late last evening, Mr Deshmukh said the private sector players would enter into contracts with the farmers to buy the sugarcane produce and also operate the sugar factories.

Reliance Group was willing to invest in the region, he added.

Sugar mills in the Vidarbha had closed down due to lack of sufficient sugarcane, as farmers had failed to get remunerative prices for their produce.

Private participation would encourage farmers to grow more sugarcane, which would help run the mills in the region, he said.

Asked if the Reliance Group was set to enter the region's sugar sector, the Chief Minister said initial discussions had been held, but a final decision was pending. A meeting would be held shortly to work out the details, he added.

Sugar mills in Vidarbha are in the co-operative sector alone, with four of the 16 having gone into liquidation because of financial problems.

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