Haryana CM hikes sugarcane price by ₹35/quintal for 2026-28 seasons
Synopsis
Key Takeaways
Haryana Chief Minister Nayab Singh Saini on Thursday, 29 October 2026, announced a two-year sugarcane price hike totalling ₹35 per quintal, offering direct financial relief to sugarcane growers across the state. The revised rates will take effect from the 2026-27 crushing season.
Revised Price Structure
Under the new schedule, Haryana farmers will receive ₹430 per quintal in 2026-27, up from the current ₹415 per quintal in 2025-26 — an initial increase of ₹15. The price will rise further by ₹20 to ₹450 per quintal in 2027-28, bringing the cumulative hike to ₹35 per quintal over two seasons. Notably, announcing rates two seasons in advance is intended to give farmers clearer visibility for crop-planning decisions.
What It Means for Farmers' Income
Chief Minister Saini highlighted that average sugarcane yield in Haryana typically ranges between 700 and 800 quintals per hectare, or roughly 283 to 324 quintals per acre. At these production levels, the cumulative price increase by 2027-28 is expected to translate into additional income of approximately ₹10,000 to ₹11,300 per acre per season compared with the 2025-26 rate, according to the Chief Minister's office.
Why the Increase Was Announced
Saini said the decision followed recent interactions with farmers' organisations, during which growers flagged mounting cultivation costs driven by rising prices of diesel, labour, and fertilisers. The enhanced price, he argued, would help offset these additional input burdens and keep sugarcane economically viable against competing crops. This comes amid a reported shortage of sugarcane at the national level, which has raised concerns about sugar mills operating below capacity.
Impact on Sugar Mills and Supply Chain
Beyond direct farmer relief, the government expects the higher price to incentivise greater sugarcane cultivation in Haryana, boosting raw material availability for local sugar mills. Chief Minister Saini said mills would be better positioned to run at full capacity if the supply pipeline is strengthened — an outcome that could have downstream benefits for the state's sugar processing sector and employment within it.
Broader Context
Haryana's sugarcane pricing announcement arrives at a time when several state governments have been under pressure to revise their State Advised Prices (SAPs) upward, as the gap between input costs and farm-gate realisations has widened. Critics of such price revisions, however, often point to the risk of over-stimulating acreage in water-stressed zones, a concern that has previously dogged sugarcane expansion drives in northern India. The government has not yet indicated whether any acreage or water-use guardrails will accompany the price hike.