Uttar Pradesh farmers are demanding at least 25% increase in state cane price on account of steep hike in farm input cost. The existing UP cane price of Rs 280 per quintal (common variety) has not been revised in the last four years. It was last hiked in 2012-13 crushing season from Rs 240 per quintal to Rs 280 per quintal.
The farmers are also demanding that the sugar mills be directed to pay the cane price in lump sum as against the provision of paying it in installments. The Akhilesh Yadav government had introduced the part payment facility in order to support the sector, when it was passing through rough times.
Sugarcane is a major cash crop in UP and accounts for roughly Rs 30,000 crore worth of direct economy. There are over 4 million farmers' households in UP engaged in cane farming. The private mills dominate the UP sugar sector with 92 of the total 117 mills. The cooperative sector comprises 24 mills, while UP State Sugarcane Corporation (UPPSCL) controls one mill.