Maharashtra will begin its 2026-27 sugarcane crushing season on October 15, 2026, following approval by the ministers’ committee chaired by Chief Minister Devendra Fadnavis at Sahyadri Guest House in Mumbai. The meeting reviewed sugarcane availability, expected sugar production; fair and Remunerative Price (FRP) payments, the financial health of sugar mills and opportunities to diversify revenue through ethanol and other value-added activities. The government has indicated that the upcoming season will focus on balancing farmers’ interests with the financial sustainability of the sugar industry, with timely cane payments remaining a key priority.
The committee reviewed the 2025-26 crushing season, including the country’s sugar stock position, pending FRP payments to farmers, Revenue Recovery Certificate (RRC) cases, and sugarcane acreage and production levels. Discussions also covered measures to ensure timely payments to farmers during the upcoming season while improving the financial position of sugar mills. The government is looking for ways to address outstanding cane payments without putting additional financial pressure on the industry.
To help sugar mills clear outstanding payments to sugarcane farmers, the government discussed a proposal for an interest subsidy on soft loans. A provision to provide a ₹1,000 subsidy to sugar mills was also considered. In addition, relief of ₹1.50 per unit, based on the 2023-24 season, was discussed for mills whose co-generation power purchase agreements have expired. The meeting also considered providing relaxation in the mandatory use of jute bags for sugar packaging, which could help address operational challenges faced by mills.
Maharashtra is also looking to reduce the sugar industry’s dependence on sugar production alone by promoting ethanol and Compressed Biogas (CBG) projects. The government is considering financial and technical support for such projects. Diversification into these areas could provide sugar mills with additional revenue streams while strengthening the broader economic ecosystem linked to sugarcane.
Special Plan to Increase Sugarcane Productivity:
A proposed Special Sugarcane Development Plan was also presented during the meeting to improve production and productivity. The plan focuses on Expansion of high-quality sugarcane varieties, Modern nurseries and seed processing, Greater adoption of drip irrigation, balanced use of fertilizers, Modern farming practices, and increased agricultural mechanization. These measures are aimed at improving productivity while encouraging more efficient use of farm inputs and resources.
Maharashtra to Raise Key Issues with Centre:
The state government is also preparing to take several pending sugar-sector issues before the Central Government. Maharashtra is expected to seek an increase in the minimum selling price of sugar, higher ethanol prices and the release of pending interest subsidies linked to ethanol projects.
What the October 15 Start Means for Farmers:
The October 15 start of the 2026-27 crushing season marks an important step for Maharashtra’s sugarcane sector. Along with beginning the new crushing cycle, the government’s approach places emphasis on clearing farmer dues, improving cane productivity and expanding alternative revenue opportunities through ethanol and CBG.
FAQs:
1. When will Maharashtra’s 2026-27 sugarcane crushing season start?
Maharashtra’s 2026-27 sugarcane crushing season will begin on October 15, 2026.
2. What is the main focus of the new crushing season?
Timely FRP payments to sugarcane farmers, financial stability of sugar mills and better sugarcane productivity are key priorities.
3. What support is being considered for sugar mills?
The government discussed an interest subsidy on soft loans, a ₹1,000 subsidy and other measures to support mills in clearing pending cane payments.
4. Why are ethanol and CBG important for sugar mills?
Ethanol and CBG can provide additional revenue streams and reduce sugar mills’ dependence on sugar production alone.
5. What is the Special Sugarcane Development Plan?
The plan focuses on improved sugarcane varieties, modern nurseries, drip irrigation, balanced fertilizer use, modern farming practices and mechanization to increase productivity.
