Saturday, May 12, 2007

BSP win a sweetener for sugar mills

Dalit leader Mayawati and her Bahujan Samaj Party (BSP) today emerged victorious in the elections to the Uttar Pradesh legislative Assembly, raising the hopes of sugar mill owners and small entrepreneurs in the state.

As sugarcane farmers and large landowners do not form a part of her vote bank, Mayawati is expected not to raise further the minimum support price for sugarcane when mills go on stream in October this year.

“If you look at her three tenures as chief minister, she has been more realistic about cane pricing,” said the head of a Delhi-based firm that has two mills in Uttar Pradesh.

BACK WITH A BANG
UP Assembly elections 2007 results
BSP 206
SP + 97
BJP + 51
INC + 22
Others 26

The Mulayam Singh Yadav-led Samajwadi Party government in the state had raised the support price for sugar to Rs 125-130 a quintal from Rs 115-120 a quintal in the last crushing season that ended in April, resulting in payment arrears of over Rs 2,000 crore on the books of the mills.

Read more in The Business Standard article.

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