The Sugarcane production in Tamil Nadu
has declined over the years; from 280 lakh tonnes in 2014-15; it dived sharply
down to 165 tonnes last year.
With the capacity utilization of TN
sugar mills for the current season being at 25 percent, the cost of production
has risen to a higher level, much higher than that of their counterparts across
The water intensive crop has seen drop in
production after the N-E monsoon failed over the last five years barring 2015.
The five year of inadequte rainfall has impacted
the Sugar recovery. It hovers around 8.7 percent, whereas the base recovery
rate for fixing fair and remunerative price is 9.5 percent.