From Our Special Correspondent
Daijiworld Media Network - Bangalore
Bangalore, Jun 23: Opposition Bharatiya Janata Party members on Monday staged a dharna in the Legislative Assembly demanding the government to fulfil its commitment to pay Rs 2,650 a tonne of sugarcane or at least Fair and Remunerative Price (FRP) of Rs 2,100.
It may be recalled that the Siddaramaiah regime announced that it would pay Rs 2,650 a tonne of sugarcane after the suicide by a farmer during the Belgaum session last year.
Initiating the debate on the issue under Rule 69, Leader of the Opposition Jagadish Shettar said the Government has succumbed to the "sugar lobby" and was committed to protect the interest of factory owners only.
He reminded Chief Minister Siddaramaiah that on June 19, the Government warned recovery of properties of the factories, if they failed to pay the price within two days.
Former BJP Ministers Govind M Karjol, Lakshman Savadi and Shettar sought explanation from Cooperation and Sugar Minister H S Mahadeva Prasad on steps taken to pay pending dues to farmers by factories. BJP members demanded that some ministers owning factories had failed to implement the order and they should be dropped from the Cabinet.
In a reply to the debate on non-payment of prices for sugarcane growers by the Government, the Minister said the Government issued recovery notices to 18 sugar factories, including cooperative, for their failure to pay fair and remunerative price (FRP) of Rs 2100 a tonne of cane for sugarcane growers.
He said Karnataka High Court stayed the notice issued to sugar factories directing them to pay Rs 2,500 for a tonne to growers and warning of penal action in case they failed to make payments.
Following the stay orders, notices have been issued to factories to pay FRP of Rs 2100 a tonne, fixed by the Union government as per the Sugarcane Control Amendment Order, 2009.
However, 18 factories have ignored the directive. Six factories have not even replied to notices, he said adding that 48 factories have paid FRP.
He said the incentive of Rs 150 per tonne would result in an additional burden of Rs 500 crore on the State exchequer.
The State has already decided to waive value added tax, purchase tax and road tax being collected from sugar mills, to help them pay the State Advisory Price at a difficult time when price of sugar has dipped.
The government would initiate action against those factories that have failed to pay the FRP to growers, he said indicating that the Deputy Commissioners have been told to seize factories and sale sugar produced by factories for payment of their produce.