Decline in Sugarcane Cultivation in Madhesh Province Due to Payment Issues
Janakpurdham, Jan 24: Once considered a lucrative cash crop, sugarcane cultivation is witnessing a decline in Madhesh province. The delayed determination of sugarcane prices by the government and the subsequent necessity for farmers to sell on credit during the season are driving many away from cultivating sugarcane.
Despite the excitement surrounding the establishment of Shriram Sugar Mill in Garuda, Rautahat, farmers are now abandoning sugarcane cultivation due to the mill’s closure and non-payment for the sugarcane sold.
Farmers, who were initially attracted to sugarcane cultivation for its relatively easy income, are now facing displacement due to the non-payment issues with sugar mills. In the northern part of Madhesh province, where sugarcane cultivation was more prevalent, a significant decrease has been observed.
Bhojindra Yadav, a farmer in Rautahat, expressed his initial happiness with the operation of the Garuda sugar mill. However, after its closure, he opted for other crops, finding them more financially viable.
According to the economic survey of Madhesh province released by Nepal Rastra Bank, sugarcane cultivation has declined by 33.18 percent. The ongoing crisis in sugar mills, as farmers cease sugarcane cultivation, compounds the problem for mill owners like Baiju Babra, owner of Baba Baijunath Sugar Mill in Rautahat.
Ram Kalyan Yadav, a sugarcane farmer in Sarlahi Dhankaul, highlighted the non-payment issues, citing that Annapurna Sugar Mill has not paid for the previous year. In Sarlahi, where the largest sugarcane cultivation in the country occurs, only two out of the three sugar mills—Indushankar Sugar Industry Hariwan and Mahalakshmi Sugar Industry Bagdah Godaita—are currently operating and providing regular payments at intervals of 10 and 15 days.
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