Govt will consider Rs 2000 subsidy for sugar exports

New Delhi : To absorb surplus sugar and to promote export of around four million tonnes of raw sugar, the central government is planning to give a cash subsidy of around Rs 2,000 per tonne.

According to a senior official, the amount has been calculated based on the suggestions from the finance ministry and a cabinet note on the same is expected to be floated soon.

The total subsidy outgo as per the calculation could be somewhere around Rs 800 crore spread over two years. Officials said the government is also working on curb the import of sugar by increasing the import duty from the current 15 per cent. “The quantum of increase is still being decided and a final decision on the same will be taken in a the new few days,” the official explained.

The incentives are in line with the recommendation made by a high-level informal group of ministers chaired by Agriculture Minister Sharad Pawar. The panel had recommended that government should provide incentive to produce 4 million tonnes of raw sugar will be on a per-tonne basis and will be adjusted from the Sugar Development Fund (SDF). sugar exporter.

Source : dailyshippingtimes.com