India

Maharashtra Clears ₹750 Crore Soft Loans for Sugar Mills

Published: 16 September 2026 · 1 min read

What Happened

The Maharashtra Cabinet has approved soft loans worth around ₹750 crore for cooperative sugar mills to help clear pending Fair and Remunerative Price (FRP) dues owed to sugarcane farmers from the 2025-26 crushing season. The scheme will also support mills' operations for the upcoming 2026-27 season. The state government will bear the interest cost, making it easier for mills to access credit.

Key Takeaways

The decision is aimed at ensuring timely payments to sugarcane farmers while helping financially stressed cooperative mills prepare for the next crushing season. The move is expected to ease liquidity pressures in the sugar sector and support uninterrupted sugarcane procurement.

Sources

Business World, Akashvani News