Govt backs off on cane pricing

Pushed to the backfoot by Opposition protests, the Centre blinked and announced it would roll back the controversial clause in the sugarcane-related amendments which shifted the financial burden of sugar mills on to state governments. Leader of the Lok Sabha Pranab Mukherjee told an all-party meeting that the government would drop the recently introduced clause from the Sugarcane (control) Order. This stipulated that the gap between prices announced by state above the Fair and Remunerative Price (FRP) fixed by the Centre be paid by state governments. The ordinance introducing FRP, however, remains untouched. This may end the deadlock which has not let the winter session of Parliament get under way beyond customary invocation of the national song and oath-taking by new entrants.

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