Cabinet clears Rs 5,538-cr package for sugar industry
New Delhi, Sep 26 : The Union Cabinet on Wednesday approved a Rs 5,538-crore package as part of a comprehensive policy for the sugar industry to deal with the surplus domestic stock and help mills clear dues of cane growers.
The policy seeks to offset the cost of cane crushed and provide transport subsidy for sugar export to help the industry improve its liquidity to clear the dues.
Addressing the media here, Union Finance Minister Arun Jaitley said that the policy's objective is to deal with the excess sugar due to higher production in the coming season.
"One of the points (of the policy) talks about providing assistance to sugar mills by defraying expenditure towards internal transport, freight handling and other charges to facilitate export during the sugar season (2018-19)," he said.
"Another one is to provide assistance to sugar mills at the rate of Rs 13.88 per quintal of cane crushed during the 2018-19 season to offset the cost of cane itself."
The total expenditure to clear cane dues and transport subsidy would be Rs 4,163 crore and Rs 1,375 crore, respectively.
Assistance amount under both heads would be credited directly into the farmers' accounts to ensure payment of sugarcane dues by the mills, and if there is any subsequent balance it would be credited into mills' accounts, as per a release.
Assistance would be provided to those mills which fulfil the eligibility conditions as decided by the government.
The transport subsidy will be Rs 1,000 per tonne of sugar for mills located within 100 km from ports, Rs 2,500 per tonne for mills located beyond 100 km from the ports in the coastal states and Rs 3,000 per tonne for mills located in other than coastal states or actual expenditure, whichever is lower.
The liquidity position of sugar mills was adversely affected in sugar season 2017-18 due to depressed market sentiments and crash in sugar prices, which led to accumulation of cane price dues of cane farmers to an alarming level of about Rs 23,232 crore in May this year.
In order to stabilise sugar prices at a reasonable level and to improve the liquidity position of the mills to enable them to clear the arrears, over the last one year the Central government has already taken certain measures that include hike in import duty to 100 per cent, zero export duty and creation of buffer stock.
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Cong claims TVK chief Vijay has sought its support for govt formation in Tamil Nadu
New Delhi (PTI): The Congress on Tuesday claimed that TVK chief Vijay has sought its support for government formation in Tamil Nadu and its leadership has directed the state unit to take a final decision on the matter, keeping in view the state's sentiments.
The party, which fought the assembly election in alliance with the DMK, asserted that the mandate in Tamil Nadu is for a secular government and that it is determined "not to have the BJP and its proxies run the government of Tamil Nadu in any manner".
Top Congress leaders held a meeting at party chief Mallikarjun Kharge's residence on Tuesday evening that was attended by Leader of Opposition in Lok Sabha Rahul Gandhi and Tamil Nadu in-charge Girish Chodankar, among others.
Addressing the media after the meeting, Congress general secretary, Organisation, K C Venugopal said the Congress leadership discussed the post-election scenario in Tamil Nadu.
"TVK President Thiru Vijay has requested the Indian National Congress for support to form a Government in Tamil Nadu. He has spoken about drawing inspiration from Perumthalaivar Kamaraj as well, in his political mission.
"The INC is clear that the mandate in Tamil Nadu is for a secular government that is committed to protecting the Constitution in letter and spirit. The INC is determined not to have the BJP and its proxies run the Government of Tamil Nadu in any manner," he said.
"Accordingly, the Congress leadership has directed the TNCC to take a final decision on Thiru Vijay's request, keeping in view the sentiments of the state reflected in the electoral verdict," Venugopal told reporters.
Vijay's TVK won 108 seats in the 234-member Tamil Nadu Assembly, falling short of the halfway mark. He needs the support of 10 MLAs to form a government with a simple majority. The results were declared only on Monday.
The Congress has won five seats, while the Pattali Makkal Katchi (PMK) has bagged four seats. The CPI and CPI-M have two seats each.
On the other hand, the Dravida Munnetra Kazhagam (DMK) has won 59 seats while the All India Anna Dravida Munnetra Kazhagam (AIADMK) has won 47 seats.
The Bharatiya Janata Party (BJP) has won only one seat and so have the Desiya Murpokku Dravida Kazhagam (DMDK) and the Amma Makkal Munnettra Kazagam (AMMK), while the VCK has won two seats.
The Congress had fought the assembly polls in a pre-poll alliance with the DMK, while the BJP had a tie-up with the AIADMK.
