Goa govt pays Rs 73 cr in compensation after Sanjivani sugar factory closure


Daijiworld Media Network - Panaji

Panaji, Jul 13: Following the closure of the Sanjivani Co-operative Sugar Factory in 2021, the Goa government has disbursed over Rs 73 crore in financial aid— Rs 46.89 crore to more than 600 sugarcane farmers and Rs 26.46 crore as honorariums to 210 factory workers, according to Agriculture Director Sandeep Fol Dessai.

Addressing a press conference at the Department of Agriculture headquarters, Fol Dessai said that about 75% of sugarcane farmers have transitioned to other crops over the past five years. “Since the factory’s closure, several support mechanisms have been introduced to minimise the impact on farmers and workers,” he said.

In 2021, following the factory's shutdown, the state government constituted a committee led by former MP Narendra Sawaikar to address the concerns of affected farmers. Chief Minister Pramod Sawant had attended the committee’s first meeting and assured full support to the farming community.

A special scheme titled ‘Special Financial Assistance for Sugarcane Producers’ was rolled out for five years. The scheme’s compensation was based on each farmer’s average production during the period.

Breakdown of farmer compensation from 2020-21 to 2024-25:

• Rs 11.83 crore to 734 farmers (2020-21)
• Rs 10.28 crore to 690 farmers (2021-22)
• Rs 8.86 crore to 669 farmers (2022-23)
• Rs 8.33 crore to 682 farmers (2023-24)
• Rs 7.56 crore to 697 farmers (2024-25)

Fol Dessai also noted that farmers were allowed to send their sugarcane to the Khanapur Laila Sugar Factory in Karnataka to earn additional income, with no restrictions imposed by the Goa government.

Regarding the future of the Sanjivani factory, Fol Dessai confirmed that the Department of Agriculture is responsible for its revival, but added that despite issuing a Request for Qualification (RFQ) to attract private interest in setting up a new sugar plant, there were no takers.

“We will revise and reissue the RFQ soon in hopes of attracting potential investors,” he stated.

While financial aid has helped cushion the immediate blow, the long-term uncertainty around the factory’s revival and the shifting agricultural landscape continue to pose challenges for Goa’s once-thriving sugarcane sector.

  

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Title: Goa govt pays Rs 73 cr in compensation after Sanjivani sugar factory closure



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