Payback time: UP has no option but to pay farmers directly

Given the millions of farmers involved in cultivation of sugarcane in Uttar Pradesh, the government now needs to take some urgent steps since the mills have upped the ante and given a formal notice saying they don’t plan to crush sugar this season. While the problem has undoubtedly been aggravated by the fall in sugar prices, the larger problem is that state governments—and Uttar Pradesh is the biggest culprit here—have preferred bad politics over good economics.

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