Since Maharashtra State Cooperative Bank (MSC) has refused to give loans to cooperative sugar mills hit by the lack of resources, millers will meet the state chief minister Devendra Fadnavis in connection with soft loan announced by the central government, reports Financial Express.
The Central government had announced a soft loan of up to Rs 10,540 crore to the sugar industry to help mills clear mounting arrears to cane growers.
Sources say over-production in the current sugar season 2018-19 has affected the liquidity position of sugar mills resulting in building up of cane price arrears of farmers which have gone up to Rs 20,159 crore across the country this year.