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Notices Sent to 13 Sugar Factories for Pending Dues

April 15, 2024
Reading Time: 2 mins read
Notices Sent to 13 Sugar Factories for Pending Dues

Deputy Commissioner Nitesh Patil has sent notifications to 13 sugar factories in Belagavi district, instructing them to give precedence to settling the outstanding payments owed to sugarcane farmers. The action of sending these notifications comes after receiving complaints from sugarcane growers, indicating a proactive stance by the authorities in resolving the concerns of the farming community. In total, these factories owe Rs 508.4 crore to the farmers.

The Belagavi district hosts 28 sugar factories, constituting the largest sugar production hub in the state. Many of these factories are owned by politicians, with prominent figures overseeing operations not only in individual establishments but also within the cooperative sector.

Candidates canvassing for the Lok Sabha elections are encountering embarrassment as sugar factories owned and operated by their families owe hundreds of crore rupees in dues. According to Prakash, a sugarcane grower in the Chikkodi LS constituency, only a handful of sugar factories adhere to timely payments, with many consistently accruing dues each year. In total, 13 factories in the Belagavi district owe a staggering Rs 508.5 crore to sugarcane growers for their supplies.

The family of Congress candidate Priyanka Jarkiholi, contesting from Chikkodi LS, possesses two sugar factories: Belagavi Sugars Pvt Ltd in Hudali and Satish Sugars Pvt Ltd in Gokak. These factories still owe growers a sum of Rs 105.8 crore. Similarly, the family of Congress candidate Mrinal Hebbalkar, running for Belagavi LS, owns Harsha Sugars Pvt Ltd in Savadatti, with outstanding payments totaling Rs 2.2 crore to farmers.

Besides these, the outstanding dues from other factories are as follows: Hiranyakeshi cooperative sugar factory in Hukkeri owes Rs 100.3 crore, Ugar Sugars Ltd in Athani owes Rs 99 crore, Athani Sugars in Athani owes Rs 67.8 crore, Sangam Cooperative Sugar Factory in Hukkeri owes Rs 32.3 crore, Malaprabha Cooperative Sugar Factory in MK Hubli owes Rs 23.5 crore, Siddasamudra Someshwar Cooperative Sugar Factory in Bailhongal owes Rs 20 crore, Krishna Cooperative Sugar Factory in Athani owes Rs 19.8 crore, Vishwaraj Sugar Industries Ltd in Hukkeri owes Rs 19 crore, Shiraguppi Sugar Works Ltd on Khanapur Road owes Rs 12.2 crore, and Markandeya Cooperative Sugar Factory in Kakati of Belagavi owes Rs 6.3 crore.

DC Nitesh Patil stated that among the 28 sugar factories, 15 have settled their dues with the growers, while the remaining 13 are yet to do so. Both the sugar director and the sugarcane development commissioner have issued final notices to these factories. As per the Karnataka Sugarcane Act, if the factories fail to clear the cane bills within 14 days of the sugarcane supply, they are liable to pay an interest of 15% on the pending bill amount to the growers for the subsequent period. Delays in payment may prompt the government to take further action.

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