SC directs mill owners to clear the dues of sugarcane growers

New Delhi, Feb 27 (UNI) The Supreme Court today directed the sugar mill owners in Uttar Pradesh to clear the dues of sugarcane growers within six weeks from today.

A bench comprising Justices Arijit Pasayat and P Sathasivam issued the directions on a batch of petitions filed by 'Kisan Sangathan', 'Cooperative Cane Development Union Limited' and others seeking directions to 'Sugar Mills Company Limited' and others to pay the prices of sugarcane supplied by them to these mills.

Sugarcane was supplied to the mills at the rate of Rs 115, 118 and 122 per quintal as decided by the State Advisory Price (SAP).

According to the petitioner total dues were around Rs 200 crores.

Allahabad High Court had disbanded SAP holding that the state government was not competent to decide the procurement prices for sugarcane farmers.

The High Court had directed the state government to pay the farmers at the rate of Rs 125 per quintal.

Sugarcane prices were due for the year 2006-07.

The apex court fixed the matter for further hearing in the second week of April.

The apex court also directed that although the farmers have been paid higher prices earlier, their would be no recovery from them.

UNI AKS/SC SY RP HS1540