{"id":1946,"date":"2024-03-30T14:06:55","date_gmt":"2024-03-30T08:36:55","guid":{"rendered":"https:\/\/lotusarise.com\/qna\/?p=1946"},"modified":"2024-04-03T07:08:02","modified_gmt":"2024-04-03T01:38:02","slug":"q-the-fair-and-remunerative-price-frp-of-sugarcane-is-approved-by-the","status":"publish","type":"post","link":"https:\/\/lotusarise.com\/qna\/upsc\/q-the-fair-and-remunerative-price-frp-of-sugarcane-is-approved-by-the","title":{"rendered":"Q.\u00a0The Fair and Remunerative Price (FRP) of sugarcane is approved by the"},"content":{"rendered":"\n<ul class=\"mcq wp-block-list\">\n<li>Cabinet Committee on Economic Affairs<\/li>\n\n\n\n<li>Commission for Agricultural Costs and Prices<\/li>\n\n\n\n<li>Directorate of Marketing and Inspection, Ministry of Agriculture<\/li>\n\n\n\n<li>Agricultural Produce Marketing Committee<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\"><strong>Answer:<\/strong>&nbsp;<strong>(a) Cabinet Committee on Economic Affairs<\/strong><\/p>\n<\/blockquote>\n\n\n\n<h5 class=\"wp-block-heading\" id=\"fair-and-remunerative-price-frp\">Fair and Remunerative Price (FRP):<\/h5>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Fair and Remunerative Price (FRP) is the\u00a0<strong>price declared by the government,<\/strong>\u00a0which mills are\u00a0<strong>legally bound<\/strong>\u00a0to pay to farmers for the cane procured from them.\n<ul class=\"wp-block-list\">\n<li>Mills have the<strong>&nbsp;option of signing an agreement with farmers<\/strong>, which would allow them to pay the FRP in installments.<\/li>\n\n\n\n<li><strong>Delays in payment can attract an interest<\/strong>&nbsp;<strong>up to 15% per annum<\/strong>, and the sugar&nbsp;<strong>commissioner can recover unpaid FRP<\/strong>&nbsp;as dues in revenue recovery by attaching properties of the mills.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>The payment of FRP across the country is governed by<strong>&nbsp;the Sugarcane Control order, 1966 issued under the&nbsp;Essential Commodities Act (ECA), 1955<\/strong>&nbsp;which&nbsp;<strong>mandates payment within 14 days of the date of delivery<\/strong>&nbsp;of the cane.<\/li>\n\n\n\n<li>It has been determined on the recommendation of the\u00a0<strong>Commission for Agricultural Costs and Prices (CACP)<\/strong>\u00a0and announced by the\u00a0<strong>Cabinet Committee on Economic Affairs (CCEA).<\/strong>\n<ul class=\"wp-block-list\">\n<li>CACP is an attached office of the&nbsp;<strong>Ministry of Agriculture and Farmers Welfare<\/strong>. It is an advisory body whose&nbsp;<strong>recommendations are not binding on the Government.<\/strong><\/li>\n\n\n\n<li>CCEA is chaired by the&nbsp;<strong>Prime Minister of India.<\/strong><\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>The FRP is based on the&nbsp;<strong>Rangarajan Committee report<\/strong>&nbsp;on reorganizing the&nbsp;<strong>sugarcane industry.<\/strong><\/li>\n\n\n\n<li><strong>Which Factors are considered for announcing FRP?<\/strong>\n<ul class=\"wp-block-list\">\n<li>Cost of production of sugarcane<\/li>\n\n\n\n<li>Return to the growers from alternative crops and the general trend of prices of agricultural commodities<\/li>\n\n\n\n<li>Availability of sugar to consumers at a fair price<\/li>\n\n\n\n<li>Price at which sugar produced from sugarcane is sold by sugar producers<\/li>\n\n\n\n<li>Recovery of sugar from sugarcane<\/li>\n\n\n\n<li>The realization made from the sale of by-products viz. molasses, bagasse and press mud or their imputed value<\/li>\n\n\n\n<li>Reasonable margins for the growers of sugarcane on account of risk and profits<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>How is FRP Paid?<\/strong>\n<ul class=\"wp-block-list\">\n<li>The FRP is\u00a0<strong>based on the recovery of sugar<\/strong>\u00a0from the cane.\n<ul class=\"wp-block-list\">\n<li>FRP has been fixed at Rs 2,900\/tonne at a base recovery of 10% for the sugar season of 2021-22.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li>Sugar recovery is the&nbsp;<strong>ratio between sugar produced versus cane crushed,<\/strong>&nbsp;expressed as a percentage.<\/li>\n\n\n\n<li>The higher the recovery, the higher is the FRP, and higher is the sugar produced.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h6 class=\"wp-block-heading\" id=\"sugarcane\">Sugarcane<\/h6>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Temperature:<\/strong>&nbsp;Between 21-27\u00b0C with hot and humid climate.<\/li>\n\n\n\n<li><strong>Rainfall:<\/strong>&nbsp;Around 75-100 cm.<\/li>\n\n\n\n<li><strong>Soil Type:<\/strong>&nbsp;<strong>Deep rich loamy soil.<\/strong><\/li>\n\n\n\n<li><strong>Top Sugarcane Producing States:<\/strong>&nbsp;Uttar Pradesh, Maharashtra, Karnataka, Tamil Nadu, Bihar.<\/li>\n\n\n\n<li>India is the&nbsp;<strong>second largest producer<\/strong>&nbsp;of sugarcane after Brazil.<\/li>\n\n\n\n<li>It can be grown on all varieties of soils ranging from&nbsp;<strong>sandy loam to clay loam<\/strong>&nbsp;given these soils should be well drained.<\/li>\n\n\n\n<li>It needs manual labour from sowing to harvesting.<\/li>\n\n\n\n<li>It is the main source of&nbsp;<strong>sugar,<\/strong>&nbsp;gur (jaggery), khandsari and molasses.<\/li>\n\n\n\n<li>Scheme for Extending Financial Assistance to Sugar Undertakings (SEFASU) and&nbsp;<strong>National Policy on Biofuels<\/strong>&nbsp;are two of the government initiatives to support sugarcane production and the sugar industry.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Answer:&nbsp;(a) Cabinet Committee on Economic Affairs Fair and Remunerative Price (FRP): Sugarcane<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[1,3],"tags":[38],"years":[58],"class_list":["post-1946","post","type-post","status-publish","format-standard","hentry","category-upsc","category-prelims","tag-indian-economy","years-58"],"acf":[],"taxonomy_info":{"category":[{"value":1,"label":"UPSC"},{"value":3,"label":"Prelims"}],"post_tag":[{"value":38,"label":"Indian Economy"}],"years":[{"value":58,"label":"2015"}]},"featured_image_src_large":false,"author_info":{"display_name":"LotusArise","author_link":"https:\/\/lotusarise.com\/qna\/author\/team-lotusarise"},"comment_info":0,"category_info":[{"term_id":1,"name":"UPSC","slug":"upsc","term_group":0,"term_taxonomy_id":1,"taxonomy":"category","description":"","parent":0,"count":1269,"filter":"raw","cat_ID":1,"category_count":1269,"category_description":"","cat_name":"UPSC","category_nicename":"upsc","category_parent":0},{"term_id":3,"name":"Prelims","slug":"prelims","term_group":0,"term_taxonomy_id":3,"taxonomy":"category","description":"","parent":1,"count":1251,"filter":"raw","cat_ID":3,"category_count":1251,"category_description":"","cat_name":"Prelims","category_nicename":"prelims","category_parent":1}],"tag_info":[{"term_id":38,"name":"Indian Economy","slug":"indian-economy","term_group":0,"term_taxonomy_id":38,"taxonomy":"post_tag","description":"","parent":0,"count":225,"filter":"raw"}],"_links":{"self":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/posts\/1946","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/comments?post=1946"}],"version-history":[{"count":0,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/posts\/1946\/revisions"}],"wp:attachment":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/media?parent=1946"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/categories?post=1946"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/tags?post=1946"},{"taxonomy":"years","embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/years?post=1946"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}