Prime Minister Narendra Modi on Saturday called for higher ethanol content in petrol and a concerted effort to push exports in a bid to lower the current sugar surplus and protect the interests of farmers to whom factories owe an estimated `15,000 crore in cane arrears.
"Taking note of the current supply-demand issues with regard to sugar, the Prime Minister called for assiduous efforts to increase ethanol blending of fuel. He also called for exploring all possibilities for export of sugar," an official statement said, after a high-level meeting here.
"The Prime Minister also reviewed the progress with regard to the `6,000 crore incentive package approved by the Union Government in June 2015," the statement added, referring to the soft loan extended to sugar mills so that they can clear the arrears to farmers.
"The Prime Minister emphasised that the farmers' interest be kept foremost at all times and issues related to sugar sector be monitored regularly. long-term measures with regard to the sector were also discussed."