In a significant announcement for India’s sugar industry, Union Minister for Consumer Affairs, Food and Public Distribution and New & Renewable Energy, Pralhad Joshi stated that the government will soon review long-pending demands for a hike in the Minimum Selling Price (MSP) of sugar and the procurement price of ethanol by oil marketing companies. The matter will be taken up at the Group of Ministers (GoM) level, he assured.

Minister Joshi was speaking at the National Efficiency Awards Ceremony 2025, hosted by the National Federation of Cooperative Sugar Factories Ltd. (NFCSF) at Dr. Ambedkar International Centre, New Delhi. The event also marked the Cooperative Sugar Industry Conclave 2025, bringing together key stakeholders from across the country.

India has already achieved 20 per cent ethanol blending in petrol, Joshi confirmed, and is actively working on a roadmap to raise this figure to 25 per cent by 2030. He emphasised the government’s commitment to balancing the interests of farmers, millers, and consumers, noting the sugar sector’s Rs 1.3 lakh crore annual contribution to the national economy.

The Minister highlighted India’s growing ethanol production capacity—now at 1,788 crore litres—and stressed the need for year-round operations of sugar mills through diversification into ethanol and bio-CNG. He praised recent reforms that have stabilised domestic prices, improved payments to farmers (with 83 per cent dues cleared for 2024–25), and enhanced export competitiveness.

Calling cooperatives a vital engine of India’s development journey, he credited Prime Minister Narendra Modi and Home Minister Amit Shah for creating the Ministry of Cooperation and advancing rural enterprise models like cooperative-led warehousing.

NFCSF President Harshvardhan Patil urged the government to raise the MSP of sugar to Rs 40/kg and frame a 10-year industry policy roadmap to provide long-term certainty for investment and innovation. He acknowledged the Centre’s support in providing Rs 10,000 crore soft loans through NCDC and tax concessions, but stressed the need for consistent policy backing.

The NFCSF honoured 25 cooperative sugar mills for excellence in technical, financial, and operational categories, reinforcing its commitment to innovation and sustainability in the sector. As the apex body representing 260 cooperative sugar factories and 9 state federations, the NFCSF’s Efficiency Awards are widely considered a benchmark for quality and performance.

The event also featured a technical seminar on Artificial Intelligence in sugarcane cultivation, chaired by Dr. Prasanta Kumar Das, Assistant Director General, ICAR. Experts from the Sugarcane Breeding Institute and the Ministry of Agriculture explored emerging innovations in precision farming and digital tools for the cooperative sugar sector.

Distinguished speakers included Former Union Minister Suresh Prabhu, MoS Nimuben Bambhaniya, and Haryana Cooperation Minister Dr. Arvind Sharma, who all echoed the importance of empowering sugar cooperatives as rural growth drivers.