NAMAKKAL: Once a key crop in Namakkal, farmers have been slowly shifting away from sugarcane to other profitable alternatives. Rising production costs, delayed payments and low returns have made the crop less attractive for cultivators.
Sugarcane is primarily grown in areas including Jedarpalayam, Paramathi Velur, Mohanur, and Senthamangalam in Namakkal district.
"Production costs for sugarcane have risen sharply, from labour cost to fertilizers, irrigation, and electricity," said R Velusamy, president of TamilNadu Farmers Association.
"To support farmers, seeds should be provided for free. Further, research into new varieties has also slowed, limiting productivity," he added.
Currently, procurement prices range between Rs 3,200 and Rs 3,350 per tonne, with some farmers reporting a one-time delay of up to six months for payments last year.
Although private mills occasionally offer Rs 4,500 per tonne, most farmers sell their produce to the Salem Cooperative Sugar Mill as such prices are an exception and not a norm.
"If the Minimum Support Price for sugarcane as promised by the DMK government in 2021 had been raised to Rs 4,000, it could have made cultivation manageable. The delay in implementation only adds to farmers' woes," Velusamy added.
"Many farmers sign agreements with the cooperative mill for processing, but sometimes this reduces their profits," said K Balasubramaniam, general secretary of Vivasaya Munnetra Kazhagam. He also lamented about the poor functioning of machines at the mill, which affects sugar extraction and yields.
An official from the Salem Cooperative Sugar Mill, who requested anonymity, said, "The state government announced an incentive of `349 per tonne for sugarcane last year. With the promised increase, the total expected price is likely to reach Rs 4,000 per tonne next year."
The official added that the mill has a crushing capacity of 4.3 lakh tonnes, but for the 2024-25 season, only 1- 1.15 lakh tonnes were crushed, roughly 25-27% of its capacity. "This decline is directly linked to lower cultivation and procurement. Last year, we procured only 1 lakh tonnes. Until 2017, procurement reached up to 4 lakh tonnes; the numbers have declined since," he the official stated.
He also explained that sugarcane, being an annual crop, is losing ground to alternatives that can yield two or three harvests a year. Addressing criticism about machine maintenance, the official stated, "The machines were installed in 1964 and have not been modernised. Their capacity is limited, which affects efficiency."
The recovery rate at the mill is currently 7.7%, which means only 77 kg of sugar can be extracted from one tonne of sugarcane. If this rate could reach 8.5-9%, about 85-90 kg per tonne could be produced, making operations more sustainable. In states like Maharashtra, recovery rates can reach nearly 13%, because of the crop variety and climate.
Meanwhile, local farmers are increasingly shifting to crops such as bananas that offer higher returns. The total area under sugarcane cultivation in Namakkal has shrunk to 12,000 acres, one third of what it once was, with only 25% of farmers cultivating it. Challenges such as pest attacks, seasonal fluctuations, and diseases have further affected yields.