Maharashtra: Rs 10 cr bank guarantee mandated for leased sugar mills to ensure FRP payments
Mumbai (PTI): A bank guarantee of Rs 10 crore has been mandated for sugar mills in Maharashtra operating on a lease or partnership basis to ensure the timely payment of Fair and Remunerative Price (FRP) to sugarcane farmers, officials said on Monday.
The state Cooperation Department's decision aims to secure FRP dues during the crushing season, though concerns have been raised that the amount may be inadequate given the scale of operations of most such mills.
According to officials, many cooperative sugar factories are financially stressed and have been given on lease or partnership under norms based on provisions of the securitisation law. While eligibility criteria for operating such mills had been laid down earlier, there was no clear mechanism to ensure timely FRP payments.
Under the new decision, at the time of entering into lease or partnership agreements and while applying for crushing licences, the company or agency taking over the mill or another sugar factory will have to furnish a minimum bank guarantee of Rs 10 crore in the name of the Sugar Commissioner.
If FRP is not paid on time during the crushing season, the dues of cane suppliers, along with interest for the delayed period, will be recovered from the bank guarantee. Any balance amount remaining after settlement of FRP dues will be returned after the end of the crushing season upon submission of a no-dues certificate, officials said.
They added that district collectors have been empowered to invoke the bank guarantee to ensure payment of FRP.
The order also provides that in case of default, coercive action cannot be taken against the immovable and movable assets of the original cooperative sugar factory. Instead, recovery proceedings, including attachment, may be initiated against the movable and immovable assets of the operating agency or company, as well as against sugar, molasses, bagasse and other by-products produced by the mill.
Commenting on the decision, farmers' leader Raju Shetti said the move was welcome but the guarantee amount should be much higher.
"Most cooperative sugar factories in the state are financially sick and have been given on lease. Their crushing capacity ranges between 3,000 and 5,000 tonnes per day. They have to pay at least Rs 100 to Rs 150 crore as FRP. In such a scenario, a Rs 10 crore bank guarantee is too low and should be increased," Shetti said.
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Noida airport to begin ops next month with IndiGo flights to Lucknow, Bengaluru
Noida (PTI): IndiGo on Thursday announced that it will start commercial flight operations from the Noida International Airport in Jewar from June 15, becoming the launch carrier for the greenfield airport in western Uttar Pradesh.
The first day flights will be to and fro Lucknow and Bengaluru, the airline said in a statement.
Noida International Airport was inaugurated by Prime Minister Narendra Modi on March 28.
IndiGo said it will be the first carrier to start commercial services from the airport, the third in the National Capital Region (NCR).
According to the airline, inaugural flights on June 15 will operate on the Lucknow-Noida-Bengaluru-Noida-Lucknow sector.
As per the announced schedule, flight 6E 2278 will depart from Lucknow at 7.05 am and arrive in Noida at 8.05 am before departing for Bengaluru at 8.35 am and landing there at 11.05 am.
The return flight, 6E 2279, will leave Bengaluru at 3.45 pm and reach Noida at 6.20 pm before departing for Lucknow at 6.55 pm and arriving there at 8 pm.
IndiGo said it will gradually introduce direct flights connecting Noida International Airport to more than 16 destinations across the country, including metro cities such as Bengaluru and Hyderabad, besides tier-2 and tier-3 cities like Amritsar, Chandigarh, Dharamsala, Jaipur, Lucknow, Navi Mumbai, Pantnagar and Srinagar.
The airline said bookings for the flights are being opened in phases through its website, mobile application and authorised travel partners.
Aloke Singh, Chief Strategy Officer of IndiGo, said the airline was pleased to announce the launch of operations from Noida International Airport.
"Strategically positioned on the Yamuna Expressway, Noida International Airport will be the new gateway for western Uttar Pradesh alongside the NCR. As we continue to expand our operations, we remain committed to delivering affordable, on-time and hassle-free travel experiences," Singh said.
IndiGo said the airport is expected to emerge as a major domestic aviation hub and will strengthen connectivity between Delhi-NCR and western Uttar Pradesh through integrated road and rail infrastructure.
