Chennai, Jan 6 (NationPress) Farmers cultivating red sugarcane in Tamil Nadu's Dharmapuri district have expressed significant dissatisfaction regarding the procurement price set by the Cooperative Department for the sugarcane included in the state government's Pongal gift hampers.

While the government has declared a rate of Rs 38 per cane, farmers contend that after deducting transportation, handling, and labor costs, they are left with only approximately Rs 25 per cane, a figure they deem unsustainable.

The Cooperative Department is sourcing red sugarcane from Dharmapuri to ensure that all ration cardholders receive cane with their Pongal hampers.

This year, around 4.75 lakh cardholders in the district are expected to benefit from this initiative. To meet the demand, sugarcane is being gathered from various areas within Dharmapuri and nearby Salem, involving over 67 farmers.

A farmer from Keelanur village remarked that the initially proposed price seemed fair.

"Initially, we were informed that the rate would be Rs 38 per cane, which appeared reasonable as the market price was also around Rs 38 to Rs 40. However, we later discovered that this amount includes transportation and labor expenses. After all deductions, we receive only about Rs 25 per cane, which barely covers our cultivation costs," he stated, urging the government to reconsider the pricing structure.

Another farmer from Kannipatti village highlighted that Pongal is typically a time of high demand for red sugarcane, during which farmers anticipate better profits.

"Instead of gaining from the seasonal demand, we are incurring losses. Because the Cooperative Department pays only Rs 25 per cane, private traders have also lowered their prices to Rs 26–Rs 28. If the government can set a minimum of Rs 30 per cane and allow farmers to supply directly to ration shops, we could handle transportation ourselves and mitigate losses," he suggested.

In response to the grievances, a senior official from the Cooperative Department explained that there was some misunderstanding regarding the announced rate.

"The Rs 38 per cane announced by the government is a comprehensive amount that covers labor costs, handling fees, transportation, storage, and quality checks. Procurement prices may differ from district to district based on availability and logistics," the official clarified.

He went on to explain that sugarcane is transported from farms to cooperative warehouses and then distributed in batches to nearly 1,100 ration shops.

Due to insufficient storage space at many ration shops, multiple trips are necessary, which adds to the overall costs.

The official also noted that this year's procurement has expanded, sourcing sugarcane from 67 farmers across Dharmapuri and Salem, compared to 54 farmers last year.