Mumbai | November 12, 2025
The Maharashtra government has launched a new incentive scheme to reward cooperative and private sugar factories that demonstrate strong performance and sustainable practices. Every year, six factories—three cooperative and three private—will be selected for awards under this initiative. A government resolution outlining the scheme was issued on Wednesday.
How factories will be judged
Sugar mills will be evaluated on nine key parameters, including:
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Timely payment of the Fair and Remunerative Price (FRP) to farmers for three consecutive years.
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High sugar recovery rate.
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Support to farmers achieving high per-hectare yields.
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Use of artificial intelligence (AI) in operations.
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Expansion of sugarcane cultivation area.
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Low carbon emissions and high carbon credit scores.
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Timely repayment of government loans.
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Compliance with employee strength and salary norms.
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Strong financial management.
Each criterion carries specific points — FRP payment accounts for 15 points, financial management and employee norms get 5 points each, while the remaining parameters are worth 10 points each.
Selection process
A two-level committee system will manage the selection process:
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The Screening Committee, led by the Sugar Commissioner, will shortlist factories. It includes representatives from the Sugar Commissioner’s office, Vasantdada Sugar Institute, the sugar federation, and two independent experts in fields like economics, engineering, or agriculture.
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The Steering Committee, chaired by the Minister of Cooperation, will make the final selection. It also includes the Minister of State for Cooperation, the Principal Secretary (Cooperation), and the Sugar Commissioner.
From the shortlisted entries, the committees will select the top three cooperative and top three private factories for annual awards. The government has not yet announced the prize amounts.
Related updates
Earlier, Chief Minister Devendra Fadnavis had announced that the 2025–26 sugarcane crushing season would begin on November 1. The decision came after a review of flood-related damages in various regions. Additionally, the government has decided to levy a ₹10 per tonne contribution to the Chief Minister’s Relief Fund and ₹5 per tonne to support flood-affected farmers.
This new recognition scheme aims to promote competitiveness, innovation, and sustainability in Maharashtra’s sugar industry — one of the largest in India.
