Bengaluru: The Karnataka government has released Rs 300 crore as financial assistance to sugarcane farmers who supplied cane to sugar factories during the 2025–26 crushing season, Minister for Sugarcane Development, Sugar, Textiles and Agricultural Marketing Shivanand Patil announced in an official statement.
The amount represents the state government’s share of Rs 50 per ton, part of the Rs 100 per ton additional financial assistance declared over and above the Fair and Remunerative Price, FRP.
Government’s Share Released as Promised
The decision to extend additional support was taken at a meeting of sugar factory owners and sugarcane growers held at Vidhana Soudha on November 8. During the meeting, it was resolved that the state government and sugar factories would equally bear the additional Rs 100 per ton support, contributing Rs 50 each.
“As per the decision taken earlier, the state government has released its share of Rs 50 per ton, amounting to Rs 300 crore, for the benefit of sugarcane farmers,” the Minister stated.
The government clarified that the assistance aims to provide relief to farmers facing rising input costs and market uncertainties.
Direct Transfer Through District Administration
According to the statement, the Sugarcane Development Commissioner will disburse the funds to respective District Collectors based on proposals submitted by sugar factories. The District Collectors have been instructed to ensure that Rs 50 per ton is directly credited into farmers’ bank accounts, calculated on the quantity of sugarcane supplied.
The Minister also directed district authorities to take necessary steps to ensure that sugar factories release their share of Rs 50 per ton to eligible farmers without delay.
Crushing Season Data and Projections
Providing an update on the ongoing season, Patil said that 81 sugar factories participated in the 2025–26 crushing operations. Of these, 29 factories have completed crushing activities.
So far, 521 lakh metric tonnes of sugarcane have been crushed across the state. The government expects the total crushing to reach approximately 600 lakh metric tonnes by the end of the season. The current crushing cycle is likely to conclude by the first week of March.
The Rs 300 crore allocation has been calculated based on the projected crushing of 600 lakh metric tonnes, ensuring that farmers receive timely assistance.
