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In a major relief for sugarcane farmers, Yogi Adityanath government has announced a Rs 30 per quintal increase in sugarcane prices for the 2025-26 crushing season. The new price for early sugarcane varieties has been fixed at Rs 400 per quintal, while normal sugarcane varieties will be Rs 390 per quintal.

The increase in sugarcane price will result in an additional payment of ₹3,000 crore to farmers across Uttar Pradesh, marking another milestone in the state's commitment to farmer welfare and rural economic growth.

According to Uttar Pradesh's Sugarcane Development and Sugar Industry Minister, Laxmi Narayan Chaudhary, the price of early sugarcane varieties has now been fixed at Rs 400 per quintal, and that of normal varieties at Rs 390 per quintal. This increase will result in an additional payment of approximately Rs 3,000 crore to sugarcane farmers.

A record payment of ₹2.90 lakh crore has been made so far under the Yogi government, which is ₹1.42 lakh crore more than previous governments.

With highlighting the importance of the crop, Minister Chaudhary said, “Sugarcane farmers are not just producers but strong pillars of the state’s economy. Sugarcane is the foundation of our rural life, and ensuring fair and timely payment to every farmer is our government’s top priority.”

With this price increase of sugarcane, the government aims to increase farmers’ income, boost rural employment, and strengthen Uttar Pradesh’s agricultural base, which remains the largest in the country for both sugarcane production and acreage.

"Uttar Pradesh currently operates 122 sugar mills, ranking Uttar Pradesh second in India. While, 21 mills were sold at throwaway prices, but the Yogi government’s transparent and investment-friendly policies have attracted Rs 12,000 crore into the sugar industry," minister stated.

Additionally, CBDG plants have been installed in two mills, boosting alternative energy production in the sugarcane sector.

4 new sugar mills have been established,

6 closed mills have been restarted, and

Capacity of 42 mills has been expanded.

This expansion has effectively increased the state’s total production capacity by the equivalent of eight large sugar mills. Additionally, Compressed Biogas (CBG) plants have been installed in two mills, promoting green energy production within the sector.

The 'Smart Sugarcane Farmer System' has changed the way farmers interact with mills. Through this online platform, processes like acreage assessment, calendaring, speculation, and slip issuance have been fully digitalised.

Now, farmers receive their sugarcane slips directly on their mobile phones, and payments are credited to their bank accounts via DBT (Direct Benefit Transfer).

This system, recognized as a “model system” by the Government of India, has eliminated middlemen and ensured complete transparency in payments and operations.

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Minister Laxmi Narayan Chaudhary stated following key points regarding ethanol production and sugarcane acreage:

Akanksha is a writer who covers personal finance and commodities, with prior experience in cryptocurrency reporting. She has also covered political elections a