The Cabinet Committee on Economic Affairs, presided by Prime Minister Shri Narendra Modi, has made the Fair and Remunerative Price (FRP) of sugarcane mandatory to be paid by sugar mills for 2020-21 sugar season (October-September) as per the suggestions of the Commission for Agricultural Costs and Prices (CACP). The recommendations by the CACP include-
i) FRP of sugarcane for 2020-21 sugar season was decided at Rs.285/- for every quintal for a basic recovery rate of 10%;
ii) A premium of Rs. 2.85 per quintal for every 0.1% increase above 10% in the recovery; and
iii) Reduction in FRP by Rs. 2.85 per quintal for every 0.1 percentage point decrease in recovery, in respect of those mills whose recovery is below 10% but above 9.5 percent. However, for mills having recovery 9.5 % or below, the FRP is fixed at Rs 270.75 for every quintal.
The determination of FRP will be in the interest of sugarcane growers keeping in view their rights to a fair and remunerative price for their sugarcane produce.
The ‘Fair and Remunerative price’ of sugarcane has been determined under the Sugarcane (Control) Order, 1966. This will be unbiasedly and equitably applicable across the country.


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