New Delhi, Jan 17 (KNN) The government has given the green signal for incentives to sugar industry for exports of up to 40 lakh tonnes of raw sugar for two years. 

To address the financial problems being faced by the sugar industry, a PM-constituted panel was set up.  In line with the panel’s recommendations, the centre has already announced interest subsidy on bank loans to be availed by sugar mills for paying cane farmers. 

“We have decided to give incentives to promote raw sugar as a new product.  Incentives will be given for export of up to 40 lakh tonnes for two seasons,” food minister KV Thomas told reporters yesterday.

He said the quantum of incentives would be worked out soon, taking inputs from the finance ministry. This proposal may come for discussion in the next cabinet meeting, he added.

Thomas said the policy of incentives is compatible with WTO norms and would be reviewed constantly.

Incentives would be given per tonne raw sugar basis from the Sugar Development Fund of the food ministry, he added.  (KNN/Bureau)