Sugarcane farmers and owners of sugar mills of Birgunj have reached an agreement to operate the mills after the third round of talks regarding fixing the sugarcane price.
Agreement has been reached to operate the sugar mills even by fixing the minimum price of sugarcane after the reference price could not be negotiated.
As per the agreement reached last night, Rs 400 per quintal of sugarcane brought by farmers at the gate of the mill and Rs 375 per quintal of sugarcane brought at the collection centre designated by the mill would be paid to the farmers in advance, said Kapil Muni Mainali, President of the Federation of Sugarcane Farmers of Nepal.
The sugarcane farmers have been demanding a 10 percent increment in the price of sugarcane on last year’s price citing high production cost. However, the mill owners were reluctant to the farmers’ demand.
The two sides have also agreed to hold talks on February 12, 2014 for fixing the sugarcane price and to request to the government for the same if the price could not be negotiated in the next talk.
Representatives of the Everest Sugar Mill, Ramnagar; the Indu Shankar Sugar Mill, Hariwan; and the Mamkaur Sugar Mill, Bara and some 70 sugarcane farmers from across the country participated in the talks.
Russian Ambassador inspects sugar mill
Ambassador of Russia to Nepal Sergey V Velichkin has inspected the Birgunj Sugar Mills and the Agricultural Implements Factory on Tuesday.
The sugar mill is closed since 11 years and the agricultural tools factory is also closed. It is learnt that the Russian ambassador inspected the mill and the factory weighing the possibility of operating the factories again.
Both the sugar mill and the factory were established with the assistance provided by Russia. The mill was established in 1964 and the factory in 1968.
The government has initiated the process through the Public Enterprises Board for reopening these two factories.
Ambassador Velichkin also inspected the Sirsiya dry port at Birgunj.