Maharashtra’s sugar mills are facing a serious dilemma as an increasing number of farmers are transporting their sugarcane to neighboring Karnataka for processing. The shift is driven by better prices and faster payments offered by Karnataka mills, leaving Maharashtra’s sugar industry grappling with a shortage of raw material. This trend threatens to disrupt Maharashtra’s sugar production for the current season, as the state is one of India’s largest sugarcane producers.
Industry experts warn that prolonged diversion of cane to other states could impact mill profitability and farmer relationships in Maharashtra. Farmers, on the other hand, are motivated by economic incentives amid rising input costs and delayed payments from some Maharashtra mills. The government and industry bodies are urged to step in and address these challenges to stabilize the local sugar sector.
The situation remains fluid as Maharashtra mills look for ways to retain their supply and sustain production amidst growing competition.
