LAHORE: Authorities are about to crack the whip on the sugar mills that have defaulted on the payments to farmers, even nearly two months after the closing of crushing, but stakeholders doubted any tough action would be taken against the powerful owners.
According to official data, as many as 10 sugar mills of the province alone still owed Rs1.085 billion to farmers on account of sugarcane supply. Under section 13 (2) of the Sugar Factories (Control) Act 1950, a sugar mill is bound to pay the growers' dues directly into the growers account within 15 days of supply.
However, despite the closure of crushing in the last week of March and first week of April 2022, the 10 sugar mills, according to the data provided by the mills, have not paid the growers their dues worth Rs1.085 billion for the months of February, March, and April 2022, stated a letter written by Muhammad Zaman Wattoo, Cane Commissioner Punjab on June 16, 2022.
Owing to non-payment of dues, the growers are finding it hard to pay the bills of tube-wells and purchase inputs for crops, Cane Commissioner observed based on input from the farmers.
As per official letter, Tandlianwala-I Sugar Mill, Faisalabad, is yet to pay Rs277,021,603 to growers. The Tandlianwala-II Sugar Mill, Muzaffargarh, has not paid Rs158,123,336 to sugarcane growers.
Chanar Sugar Mill, Faisalabad, has payables worth Rs245,778,785 on account of sugarcane purchased from growers.
Shakarganj-I, Jhang and Shakarganj-II, Jhang, owes Rs89,306,570 and Rs88,497,210 respectively. Hussein Sugar Mill, Jarranwala, is yet to pay Rs79,085,721 to growers.
Pattoki Sugar Mill, Kasur, has outstanding amount of Rs9,759,512 over purchase of sugarcane. Darya Khan Sugar Mill, Bhakkar, still has to clear Rs56,794,323 of growers. RYK Sugar Mill, Rahimyar Khan, has unsettled amount of Rs169.524,372 against purchase of sugarcane.
Adam Sugar Mill, Bahawalnagar, has not yet paid Rs20,721,233 to growers.
The Cane Commissioner has asked the Deputy Commissioners and Additional Cane Commissioners of Faisalabad, Muzaffargarh, Jhang, Kasur, Bhakkar, Rahimyar Khan, and Bahawalnagar to ensure the growers are paid at the earliest.
According to sources, the powers granted to office of Cane Commissioner have been clipped to some extent in the recent past due to multiple reasons, which makes recovery of farmers’ dues from powerful sugar millers an uphill task. Hence, action against such mills could not be initiated vigorously.