Chandigarh: The Chairman, Sugarfed Amrik Singh Aliwal on Wednesday said that the cooperative sugar mills of Punjab would give due payments to the cane growers by the first week of September.
The statement came a day after the farmers announced to block highways, railway tracks from August 20 across the state against Punjab government for their pending dues.
Aliwal said that a provision of Rs 300 crore has been made in the budget of 2021-22 by the State Government for complete payment.
The nine cooperative sugar mills in the State have already released a sum of Rs. 486.24 crore for the year 2019-20 while during the year 2020-21, a sum of Rs. 417.33 crore out of Rs. 472.10 crore has been paid. The Finance Department has sanctioned the release of Rs. 54 crore out of the balance Rs. 54.77 crore which would be paid by the first week of September to the cane growers, he said.
Aliwal said that owing to the Union Government still withholding the export subsidy and buffer stock subsidy to the tune of Rs. 9.77 crore of the cooperative sugar mills pertaining to the year 2019-20. This explains why the concerned department is being approached and the amount is hoped to be released soon.
“The balance amount of Rs. 9.77 crore will also be credited directly into the accounts of the cane growers after the release. He also said that it would be the first time in the past many years that the due payment of the previous crushing season would be made by the first week of September,” he said.