India: Sugar industry seeks extension of export subsidy

February 1, 2015
Sucrose News

The sugar industry has made a fresh pitch for extending the controversial export subsidy on raw sugar citing a three-fold jump in its debt burden from Rs 11,400 crore in 2008 to Rs 33,600 crore in 2013.


While the cabinet is expected to increase the subsidy to Rs 4,000 a tonne, from Rs 3,371 a tonne, next week, the powerful sugar lobby is also seeking a fresh loan restructuring package despite managing to extract major concessions on bank loans earlier. During bumper harvests, the industry typically cites its inability to pay cane arrears to pressurize the government into doling out concessions such as export and loan subsidies.

Reference: http://www.sucrosenews.com/more.php?detid=1492#.VM7R39KUfyV