April 27, 2026
By ChiniMandi
Raipur: Cooperative sugar mills in Chhattisgarh are reeling under accumulated losses of Rs 267 crore, with farmers still owed Rs 83.39 crore in unpaid cane dues, The Sootr reported. Growers have now issued a 10-day ultimatum, warning they will lock down all four state-run mills if the outstanding amounts are not cleared.
According to the report, several farmers who supply sugarcane to the mills have already stopped deliveries, deepening the supply crisis at units that were already on the brink of closure.
A state-level farmer organisation official, referred to as the Pradesh Mahamantri in the report, warned that if payments are not made within 10 days, protesters will padlock each of the four sugar mills in the state. The warning comes despite a central government rule mandating mills to clear cane payments within 15 days of purchase. State mills have reportedly delayed settlements by several months.
Mill-wise data cited in the report shows the scale of arrears. The Bhoramdev Sugar Mill purchased 25,58,188.87 metric tonnes of sugarcane worth Rs 84.18 crore but has paid only Rs 57.49 crore, leaving Rs 26.69 crore outstanding. The Pandaria Sugar Factory purchased 1,21,721.64 metric tonnes valued at Rs 40.05 crore, of which only Rs 13.73 crore has been paid, with Rs 26.32 crore still pending.
The financial strain at the mills has dragged down sugar production significantly. Against a stated target of 12 lakh 64 thousand metric tonnes for 2025-26, actual output has reached only 56,707 metric tonnes so far, the report noted.
Year-on-year production figures cited by The Sootr underline the worsening trend across all four mills. At the Bhoramdev Sugar Mill, output was 38,552 metric tonnes in 2022, 43,393.4 metric tonnes in 2023, and fell to 25,901.4 metric tonnes in 2024, against a capacity target of 4 lakh metric tonnes. The Sardar Patel Sugar Mill produced 33,690 metric tonnes in 2022, 43,393 metric tonnes in 2023, and only 16,451.95 metric tonnes in 2024. Maa Mahamaya Sugar Mill recorded output of 23,807.35 metric tonnes, 26,030 metric tonnes, and 18,398 metric tonnes across the same three years. The Danteshwari Sugar Mill produced 6,334.5 metric tonnes in 2022, 7,513.25 metric tonnes in 2023, and 6,668.25 metric tonnes in 2024, against annual targets ranging between 65,000 and 70,000 metric tonnes.
The production shortfall has had a direct impact on public distribution. Fair price shops across the state are unable to stock adequate sugar, with 50 to 60 per cent of ration card beneficiaries reportedly going without their entitled quota, the report stated.
Unless outstanding dues are cleared and production recovers, Chhattisgarh’s cooperative sugar sector faces the risk of complete disruption, with both farmer distress and public supply constraints intensifying.