In a significant boost for agricultural communities, Punjab Chief Minister Bhagwant Mann has declared a substantial increase in the State Advised Price (SAP) for sugarcane, positioning Punjab as the nation's leader in farmer remuneration for the upcoming 2025-2026 crushing season.
Historic Price Revision for Sugarcane
The Punjab government has established the new sugarcane SAP at Rs 416 per quintal, representing an increase of Rs 15 from the previous year's rate of Rs 401 per quintal. This strategic pricing decision places Punjab Re 1 ahead of neighboring Haryana, demonstrating the state's determined effort to prioritize farmer welfare.
Chief Minister Mann made this landmark announcement during the inauguration of a new sugar mill and co-generation plant at Dinanagar in Gurdaspur district. He emphasized that this decision makes Punjab the first state in India to establish such an elevated price point for sugarcane, thereby creating a new national benchmark for farmer compensation.
Modernization of Sugar Infrastructure
The newly inaugurated cooperative sugar mill in Gurdaspur represents a major advancement in Punjab's agro-industrial capabilities. Originally established in 1980 with a crushing capacity of 1,250 tonnes per day (TCD) and later enhanced to 2,000 TCD in 1987, the facility has served sugarcane growers for more than four decades.
Recognizing the substantial increase in regional sugarcane production, which now reaches approximately 80 lakh quintals against the mill's previous capacity of only 25 lakh quintals per season, the Punjab government initiated a comprehensive modernization project. The upgraded facility now boasts an expanded crushing capacity of 5,000 TCD, ensuring efficient processing of the area's abundant sugarcane harvest.
The modernized complex features several technological enhancements, including a state-of-the-art sulphurless refined sugar plant capable of producing premium-grade sugar. Additionally, a 28.5 MW co-generation power plant has been commissioned, designed to export 20 MW of surplus power to the Punjab State Power Corporation Limited (PSPCL).
Comprehensive Benefits for Farmers and State
This agricultural and industrial development promises multiple advantages for Punjab's farming community and the state's economy. The power export initiative is projected to generate approximately Rs 20 crore in annual revenue during each crushing season, significantly strengthening the mill's financial stability.
The number of farmers supplying cane to the mill is expected to surge from 2,850 to nearly 7,025 growers, substantially reducing dependency on distant private mills and saving farmers considerable transportation time and expenses. Chief Minister Mann highlighted that border district cultivators, for whom sugarcane serves as a key crop, would particularly benefit from this initiative.
Mann also emphasized sugarcane's role as an ideal alternative crop that can strengthen the state's crop diversification efforts. He urged the Central government to recognize and promote sugarcane as a viable substitute for water-intensive crops, aligning with sustainable agricultural practices.
New Consumer Brand and Additional Developments
In a related development, the Chief Minister launched the consumer brand 'Fateh Sugar', introducing 1 kg packs of refined sugar, caster sugar, and icing sugar, along with 5 gram sachets. Manufactured at the Batala Cooperative Sugar Mill, these sulphur-free products are expected to generate additional revenue while providing consumers with high-quality, premium sugar options.
Beyond agricultural announcements, Mann confirmed that the long-pending demand for a medical college in the area would soon be fulfilled. He also revealed plans to establish a government college for girls at Tarn Taran to empower young women with quality higher education opportunities, and mentioned ongoing work to construct a new overbridge on the railway line at Jandiala Guru to improve connectivity and ease traffic flow.
The Chief Minister addressed political matters as well, asserting his commitment to protecting Punjab's rights regarding Chandigarh and Punjab University. He challenged BJP leaders to prioritize securing Rs 1,600 crore in flood relief funds announced by the Prime Minister rather than engaging in political disputes.
Regarding administrative matters, Mann confirmed that the appointment process for new doctors was in its final stages, with postings expected soon in border areas to strengthen healthcare services. He assured that the law and order situation in Gurdaspur district remained under control, with strict action promised against any activities threatening peace and harmony.
