K'taka CM takes credit for Centre's decision to consider increasing minimum selling price of sugar
Bengaluru (PTI): Karnataka Chief Minister Siddaramaiah on Wednesday claimed credit for the central government's decision to consider industry's demand to hike the minimum selling price of sugar.
He also pointed out that the move comes following his meeting with Prime Minister Narendra Modi on the issue.
Union Food and Consumer Affairs Minister Pralhad Joshi on Tuesday said the Centre has allowed exports of 15 lakh tonne of sugar for 2025-26 marketing year starting October and will look into the industry's demand to increase the minimum selling price of the sweetener.
The minimum selling price of sugar has remained unchanged at Rs 31 per kg since February 2019. Sugar industry's apex body ISMA has been demanding that the price be enhanced to Rs 40 per kg in view of an increase in production cost.
"Joshi has said they (Centre) will consider increasing it (minimum selling price) from Rs 31 per kg to Rs 40 per kg. I had asked for Rs 41 per kg. After I requested (the Prime Minister) they have done this," Siddaramaiah said in response to a question.
Deputy CM D K Shivakumar said sugar factories have demanded before the CM and him about the need to increase sugar prices as it has been seven to eight years since they were last increased. "So we have made a request to the PM."
"Both farmers and factories should benefit. If factories are there, farmers will be there, and similarly, if farmers are there, factories will be there...so there was demand from our side too to increase sugar price, as Centre decides on the issues raised by the factories like -- sugarcane, molasses, also power, rate of interest from banks. We had requested the Centre to do justice," he said.
Expressing happiness over Pralhad Joshi's statement, he said, "He (Joshi) too has understood (the situation)."
Siddaramaiah met PM Modi in Delhi on Monday, during which he discussed various issues concerning the state, and presented a wide-ranging memorandum that pressed for several long-standing state demands, including the sugarcane farmers issue.
After the meeting, the CM had said that the MSP (minimum selling price) for sugar has been frozen at Rs 31 per kg, leaving mills unable to pay farmers the fair and remunerative price.
He had urged the prime minister to revise the sugar MSP to ensure mills can pay farmers, provide assured ethanol offtake for Karnataka distilleries, issue a Central H&T (harvesting and transport) cost notification enabling states to ensure transparent, farmer-friendly pricing.
The CM's meeting had come following Karnataka witnessing intense protests by sugarcane farmers due to the pricing gap.
After marathon discussions with farmers and mill owners, the state intervened and issued a GO (government order) ensuring an additional Rs 100 per tonne for farmers - half paid by the state and half by mills - securing a net cane price of Rs 3,200-Rs 3,300 per tonne of sugarcane based on recovery.
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Rupee falls 9 paise to all-time low of 90.58 against US dollar in early trade
Mumbai (PTI): Rupee depreciated 9 paise to an all-time low of 90.58 against US dollar in early trade on Monday, weighed down by uncertainty over an India-US trade deal and persistent foreign fund outflows.
Forex traders said rupee is trading with a negative bias as investors are in wait and watch mode and awaiting cues from the India-US trade deal front.
At the interbank foreign exchange market, the rupee opened at 90.53 against the US dollar, then fell further to an all-time intraday low of 90.58 against the greenback, registering a fall of 9 paise over its previous close.
On Friday, the rupee had slipped 17 paise to close at an all-time low of 90.49 against the American currency.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.05 per cent lower at 98.35.
Brent crude, the global oil benchmark, was trading higher by 0.52 per cent at USD 61.44 per barrel in futures trade.
On the domestic equity market front, the 30-share benchmark index Sensex was trading 298.86 points lower at 84,968.80, while the Nifty was down 121.40 points at 25,925.55.
Foreign Institutional Investors sold equities worth Rs 1,114.22 crore on Friday, according to exchange data.
"FPIs continue to be in selling mode in equity and debt while RBI has been selling dollars to fund their long positions," said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.
