Jaggery, raw sugar may improve fiscal health of Haryana’s cooperative sugar mills

Officials associated with the project said the decision was being taken following a dip in the demand for sugar, following which the prices of sugar had dropped to Rs 35 per kg.

With demand for jaggery and raw sugar increasing, the Haryana government plans to start jaggery production in two cooperative sugarmills during the crushing season, which begins from the first week of November.

HT File Photo

State agriculture department officials said two cooperative sugar mills in Kaithal and Palwal had been identified for the pilot project.

Additional chief secretary, agriculture, Sanjeev Kaushal, said, “We have decided to produce jaggery in two cooperative sugarmills as there is huge market for jaggery and jaggery powder (raw sugar).”

Officials of the Haryana Sugarfed also visited the Budhewal co-op sugar mill of Punjab, which is famous for its ‘Fateh’ brand of jaggery and sugar.

“Good quality jaggery is being sold for around Rs 70-80 per kg. We can produce good quality items for the people of our state”, he said adding, the production may be increased by involving more sugarmills if it gets good response.

Officials associated with the project said the decision was being taken following a dip in the demand for sugar, following which the prices of sugar had dropped to Rs 35 per kg.

JAGGERY PRICES HAVE INCREASED

On the other hand, jaggery prices have increased to around Rs 50 to Rs 70, depending on quality.

Moreover, officials said the production cost of jaggery is less than that of sugar.

“There are around 300 jaggery units in Yamunanagar and Ambala districts but still Haryana depends upon Uttar Pradesh for good quality produce,” said a senior officer of Haryana Sugarfed.

Officials of the Kaithal Cooperative Sugarmill conducted a survey and told the government that there was a demand for 5,000 quintals of jaggery in mill area.

Kaithal Cooperative Sugarmill managing sugar director Jagdeep Singh said, “We have prepared a blue print for starting jaggery production and submitted it to the government for consideration. As per the survey there is a huge demand for gur, shakkar, khandsari and raab (a byproduct of jaggery) in southern and western parts of the state.”

Singh said, “There is no need to make big changes in the sugarmill for jaggery production as most of the initial processes are the same.”

As per the state government’s figures, sugarcane is grown over 1.10 lakh hectares in Hrayana. The 11 government-run sugar mills in the state crush around 455 lakh quintals of sugarcane per year and produce 50 lakh quintals of sugar. The three private sugarmills also crush around 270 lakh quintals of sugarcane.