COMMODITY
Government raises sugarcane FRP by Rs 10 to Rs 365/quintal for 2026-27 season
May-06-2026

The government has decided to increase the Fair and Remunerative Price (FRP) of sugarcane by Rs 10 to Rs 365 per quintal for the 2026-27 season starting in October. For every 0.1 per cent increase in recovery above 10.25 per cent, FRP rises by Rs 3.56 per quintal, incentivising higher recovery. FRP is 200.5 per cent of the cost of production (all India weighted cost). 

The government fixes FRP for sugarcane based on the recommendations of the Commission on Agriculture Costs and Prices (CACP). Sugar mills are mandated to purchase sugarcane from farmers at FRP or more. Sugar season runs from October to September. Information & Broadcasting Minister Ashwini Vaishnaw stated that FRP for sugarcane has increased every year in the last ten years.

The move will benefit nearly 1 crore sugarcane farmers, support farm labourers engaged in sugarcane cultivation and ensure the continued operation of sugar factories and a steady domestic sugar supply. The minister said that it will provide better livelihood to 5 lakh workers employed in sugar factories and ancillary activities, besides enabling ethanol production from surplus sugarcane. 

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