It, indeed, is heartening to learn from a Recorder Report that the controversy over the commencement of cane crushing season in Sindh has been resolved, with the millers agreeing to start crushing by November 15.
A meeting, held last Monday, which was chaired by Sindh Chief Minister, Dr Arbab Ghulam Rahim, provided the growers and the mill-owners an opportunity to hold a threadbare discussion on the cane crop situation adversely affecting both, due evidently to the delay in the commencement of crushing.
That the move proved fruitful, should become evident from the fact that it concluded on a positive note that neither side stood for further delay in harvesting the cane crop, which could lead to as much delay in crushing of sugarcane.
Needless to point out, the consensus on this point could not have developed except from the thrust of enlightened self-interest, which can be viewed as a happy augury. For one thing, it was noted that the delay in crushing would adversely affect the growers' crop pattern, thereby reducing the wheat sowing area by nearly 17 percent.
Although the mill owners are stated to have argued that none of them would like to crush low recovery level sugarcane if it did not fetch a profit margin, the meeting was told that the Agriculture Department had not focused sugar yield per acre, due to flat rate on cane weight, introduced by the government without any consideration of the quality.
The meeting is reported to have been apprised of the fact the cane crop size indicated a decline of 34.33 percent in cultivated area, and around 50 percent fall in yield during the past two years. Such an outcome of delayed crushing, posed a serious threat to the province's sugar economy.
This should explain the provincial government's dismay over the delay in the commencement of crushing this season and in previous years.
However, the growers demanded a reasonable price for the cane as against the price of crystal sugar in the open market, while the millers argued that as Punjab had fixed the minimum support price of sugarcane at Rs 45 per 40 kilograms, they would pay one rupee extra over the Punjab price, in case of improved quality.
It was eventually decided that the minimum support price of sugarcane would be Rs 48 per 40 kilograms. The Chief Minister warned the millers to clear grower's dues, and the mills, failing to start crushing according to schedule, would have to pay the price of Rs 60 to 70 per 40 kilograms. Moreover, in the event of failing to arrange prompt payment to the growers, the extension in crushing season would not be allowed in future.
Delay in crushing sugarcane operations has been a constant feature over the recent years. Unfortunately, no way has been found to avert its repetition. It will be recalled that, at a recent meeting of sugar mill owners and cane growers, held with, Sindh Chief Minister in the chair, had decided that the mills in the province would start crushing from November 10 and heat up boilers before it, and that sugar mills not starting crushing by November 10, would have to face action.
In that meeting the sugarcane purchase price had been fixed at Rs 48 per 40 kilogram, with the Chief Minister warning that sugar mills not clearing growers' dues before the start of the season, would be barred from crushing, while also directing Sindh Cane Commissioner for recovery from such mills under Land Revenue Act.
It will be noted that, comprehending the causes behind the delay in crushing, the Chief Minister this time clarified that a summary was sent to him about the commencement of crushing season, but it was not convincing and, as such, he had issued a notification to start cane-crushing season by October 1.
Later, he said, a consensus was developed between the stakeholders that the crushing season would commence by November 15, positively, and those, who failed to start their mills on the scheduled date, would be taken to task. Now that the stalemate is over, one hopes that effective measures would be taken quite in advance to ensure against delay in operations.
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