The state sugar administration has issued 131 new licenses for khandsari (raw sugar) units across the state, in order to generate additional sugarcane crushing capacity during the cane crushing season of 2020-21. This move will facilitate contract farmers with remunerative options. Because contract farmers lack revenue titles of the cultivated lands in their names, they cannot become registered members of cooperative cane societies, and are therefore not entitled to supply their produce to sugar mills.
UP principal secretary of sugarcane and sugar industry, Sanjay R Bhoosreddy, told the issuance of new khansari licenses was an outcome of simplification and computerisation of the licensing system. “The department is now disposing online applications for new licenses within a mere 100 hours,” he said. He said the new khandsari units would generate an additional crushing capacity of 34,550 tonnes of cane per day (TCD), which had been assessed to be on a par with the capacity of eight sugar mills.
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