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March 18, 2010
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Sugarcane pricing not discussed at cabinet meeting: Soni
11/19/2009 10:52:00 PM

New Delhi, Nov 19 (IANS) The cabinet meeting Thursday did not discuss the government's sugarcane pricing policy, which has come under attack from opposition parties and farmers.

Information and Broadcasting Minister Ambika Soni, asked by reporters after the cabinet meeting that was chaired by Prime Minister Manmohan Singh, if the issue was discussed, said: 'The amendment on sugarcane pricing was not discussed.
'

However, Prime Minister Manmohan Singh is reported to have called an emergency meeting of the core group of ministers to discuss the issue following disruption of parliament by the opposition protesting the sugarcane pricing.

The meeting was attended by Finance Minister Pranab Mukherjee, Law Minister M. Veerappa Moily and Home Minister P. Chidambaram.

The prime minister has also assured Congress general secretary Rahul Gandhi that the government would suitably amend the ordinance regarding fair and remunerative pricing (FRP) system on sugarcane if it is in the interest of farmers.

Rahul Gandhi met the prime minister here Thursday to convey the sentiments of sugarcane growers of Uttar Pradesh amid efforts by a combined opposition to put the United Progressive Alliance (UPA) government in the dock over its ordinance.

'The prime minister has assured him that the centre will look into the matter again and suitably amend the ordinance if it is in the interest of farmers,' said a Congress statement issued by party general secretary Digvijay Singh.

The party also assured sugarcane farmers of Uttar Pradesh that the UPA government would 'ensure highest possible sugar cane price in the present context'.

The government has called an all-party meeting on Monday to discuss the sugarcane pricing, which farmers have termed unfair.

Farmers are protesting the government proposal to table an amendment that will raise the sugarcane prices from about Rs.108 to Rs.129.85 per quintal. They say this is insufficient compared to the rise in sugar prices. They are demanding Rs.280 per quintal for their produce.

The government is also worried after the DMK, its ally, said the government should have taken states into confidence before coming up with the ordinance.

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