Surat: Union Home Minister and Minister of Cooperation Amit Shah has announced a program to revive and modernize three sugar mills in Gir Somnath and Valsad districts of Gujarat. Following this announcement, there is renewed hope that the dozens of sugar factories in the sugar belt of South Gujarat, which have been struggling and nearing closure for years, will become operational again. There is a strong demand for the revival of Shree Valod Vibhag Khand Udyog Sahakari Mandali Ltd. and Maroli Vibhag Khand Udyog Sahakari Mandali Ltd. in particular.

During one of his programs in Gujarat, the minister said that the revival of these sugar mills will open the doors of prosperity for more than 10,000 farmers in the entire region. The restructuring of these three sugar mills has been undertaken through Indian Potash Limited, in which 74% of the equity share is held by cooperative societies. Prime Minister Modi has transformed our food-producing farmers into energy-producing farmers by integrating energy production with some sugar mills through ethanol blending. Cooperative sugar mills producing ethanol not only contribute to food security but also help reduce the country’s petroleum import bill. Farmers have been converted from local producers to global exporters through ethanol and biofuel production. We will increase ethanol production and enter the global market by exporting it.

The government’s target is to produce ethanol, compressed biogas, and bio-fertilizers from sugarcane in these three factories. In 2013-14, the agriculture budget was only ₹22,000 crore, which Prime Minister Modi increased to ₹1.57 lakh crore in 2023-24, showing a six-fold increase. He also said that along with this, farmers continue to receive benefits from fertilizers, drip irrigation facilities, organic farming, Kisan Credit Cards, and various new schemes like ethanol. Indian Potash Limited has illuminated the lives of over ten thousand farmers by initiating this new beginning today. When these sugar mills start operating at full capacity, the doors of prosperity will open for the farmers here. Now, we all have to work together to encourage farmers for drip irrigation.

The Central government’s decision has raised hopes that sugar factories, including Maroli and Valod, which have been closed for years in the sugar belt of South Gujarat, will become operational again.

Business View:

Indian Potash Limited has not only revived sugar mills but has also helped sugarcane farmers in many other ways. To increase sugarcane production, Indian Potash Limited has provided new types of seeds, sugarcane harvesting machines, fertilizer spraying through drones, and has initiated drip irrigation systems. Factories have also been established for ethanol and gas production. The Central government has ensured price stability in the country. Union Minister of State for Chemicals and Fertilizers, Mrs. Anupriya Patel, said in a written reply to a question in the Rajya Sabha today, “Molasses-derived potassium (PDM) is a by-product of the sugar industry. PDM has at least 14.5% potassium and farmers can use it in the field as an alternative to Muriate of Potash (MOP with 60% potassium content). Thus, since 1991, the dependence on imported potash can be reduced.”

The Commerce Department’s Directorate General of Trade Remedies (DGTR) provides a level playing field to domestic industries against the adverse effects of unfair trade practices such as dumping, actionable subsidies, fraud, etc., from any exporting country, and uses effective trade remedial measures such as anti-dumping and safeguard measures. However, currently, no applications are pending to seek protection in terms of import barriers such as anti-dumping duty or countervailing duty anti-subsidy duty on ammonium nitrate. The government has promoted fertilizers produced in organic plants under the GOBARdhan initiative. In 2024-25 budget, Market Development Assistance (MDA) has been approved at the rate of ₹1500/MT to provide ammonium nitrate. This includes a fund of ₹360 crore for research gap funding etc. DeshGujarat