Cabinet approves Rs 6,260 crore export subsidy for sugar season 2020
The Cabinet Committee on Economic Affairs has given its approval for providing a lump sum export subsidy of Rs 10,448 per tonne of sugar to mills for sugar season (SS) 2020, or from October 2019 to September 2020.
The move entails a total estimated expenditure of Rs 6,260 crore.
The subsidy will cover expenses on marketing costs, including handling, upgrading, other processing costs, international and internal transport and freight charges, on export of up to 6 million tonne (MT) of sugar, limited to the maximum admissible export quantity allocated to sugar mills for SS 2020.
The subsidy would be credited directly into farmers’ accounts on behalf of mills against cane price dues. The balance, if any, would be credited to the mills’ accounts.