Rise in Sugarcane Support Price -- Is it justified?

Most of the Co-operatives in the Sector headed by Politicians who hold the helm of the Society, though the Farmers are real members wh are more or less illiterate or brainwashed by their leaders.Though the minimum support price is fixed for the sugar cane, more margin is pocketed by the middlemen and the Politicians,leaving the farmers with meager and amount not even sufficient to cover the cost of production.

These Member Politicians deliberately keep the Sugar production and processing below average in order to maintain a high market price and also the rigging up the supply far below the capacity available and demand ,compells the government to import ,which again provides an opportunity to these Political leaders to manipulate margins beyond the prevalent market price. This helps other Importers in the cartel as a catalyst to make a huge margin in the Import of Commodity and market because of the difference the International Market.

We are paying a high cost for the sugar ot based on the production cost but to meet the cost manipulated by the Politicians. If the Commodity is freed from regulation the price will automatically come down and the sugar mills will run in to full capacity not only producing sugar, but also the bi-products and value added products which has market and make the industry viable. but our Politicians will not have the mood to free the sector because it is the crucial weapon enabling them hold the country at Ransom and make the Government dance according to their tunes.No one dares auditing and monitoring the Sugar Sector as on date which is an essential demand of today.

The last thing that effects sugar prices is the cost of sugarcane paid to the farmers.

Funny answer I understand but thats how the Indian economy works. The primary producer(farmer) and the ultimate consumer are the losers while everyone in between makes huge profits.

The politicians have made our economy tricky& weird.The whole objective is to make a middleman or a pimp or a hoarder multimillionare sothat they finance the politicians for elections. The industrialists have been following the same strategy since independence.To produce one teaspoonful of sugar, a farmer needs 30 litres of water. Now add to this the increased cost of fertilisers( politicians are paid a lot by fertiliser companies so they go on increasing the cost), pesticides, the cost of water and the cost of electricity. We are stll not taking into account the climatic vagaries and deliberate strategy of politicians to have sugar as controlled item when it comes to import & export. So with this price, the farmers will not earn much but their costs would be covered.

As far as u & me are concerned, where is the justice? The rikshafellow loots us, the builder loots us, the doctor makes us pay huge medical bills through nose, builder makes the housing unaffordable by hiking up the cost, muncipal people, customs , excise , sales tax people take huge bribes and makes life tougher for all of us.U go the police station to lodgea complaint and u experience the dry & curt behaviour of police because they do not earn much from a common man.

Farmers do not pay incometax but who is really benefitted? who has large farms ? only politicians , builders , beurocrats and industrialists. They benefit with this strategy and not a ordinary farmer.

Till now 81000 farmers have commited sucides.Do u mean anybody would like to kill himself so casually leaving his family high & dry? This is because the farmers take loans from lenders at 10 percent interest per month and they find it very difficult to repay. Public sector banks & microfinance institutions cannot cater to the needs of all the small farmers who have no collateral to offer.

Who are these lenders?- they belong to the political parties and finace the grampanchayat elections, vidhansbha elections.So just like we are exploited by the politicians, even small farmers are exploited by the same systeem who benefits? only the bigger farmers & feudal kings..

beggars in gambling arena....

nothing wrong in raising support sugar prices , only because rich farmers do not pay taxes. when gambling in full force (called derivatives) all prices become volatile and farmers suffer.

in fact, this is the root cause that entire world is suffering...... all gamblers took away the cream from manufacturers/ service providers.....so who bothers now to increase industrial output ? all fake market glory only in high end consumer products and realty.

Sorry I cannot answer. I have been prohibitted because I am not an Indian.