New Delhi: Modi government has given a big gift to crores of sugarcane farmers of the country. The Central Government has announced an increase in the Fair and Remunerative Price (FRP) of sugarcane for the upcoming 2026-27 season (October-September). Now farmers will be paid for sugarcane at the rate of Rs 365 per quintal.
This important decision was taken in the meeting of the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi. These new prices of sugarcane will be applicable in the entire country from October 1, 2026.
This time the government has not only increased the base price but has also made a provision for bonus based on the quality of sugarcane. If the sugar recovery from sugarcane in sugar mills is more than 10.25%, then for every 0.1% increase, farmers will get extra money of Rs 3.56 per quintal.
At the same time, keeping in mind the interests of the farmers, the government has also prepared a ‘safety net’. Even in mills where recovery is low, there is no need for farmers to panic. Even if recovery is less than 9.5%, farmers will definitely get payment of at least Rs 338.3 per quintal.
Talking about the figures, the government has considered the average production cost of sugarcane for the 2026-27 season to be around Rs 182 per quintal. Accordingly, the new rate of Rs 365 is 100% more than the cost. Compared to the last season, the prices have been increased by about 2.8%, which will further strengthen the economic condition of the farmers.
Sugarcane farming is not just a crop but is the backbone of the rural economy of the country. In India, about 5 crore farmers and their families are directly involved in sugarcane cultivation. Apart from this, the livelihood of 5 lakh laborers working in sugar mills and lakhs of people associated with transport and trade also depends on this decision. This step of the government will not only increase the income of farmers but will also bring prosperity in rural areas.