This is not a baseless, off-the-cuff allegation but a charge backed by hard, well-documented, authentic facts. Full credit for this sad decline goes to the Chief Minister, Mr M Karunanidhi and the minority government he heads. While the rot has set into virtually every area of governmental functioning, we would like to specifically point out the DMK Government’s attitude towards sugarcane farmers in the State to highlight its apathetic style of functioning. There is a saying in Tamil that a morsel of cooked rice can tell us the state of the whole pot.

As you are well aware, the spiralling costs of essential commodities coupled with poor returns for the farmers have been the twin issues of concern for all right thinking persons. The Union Government has been constantly advising the States to monitor the situation and to devise steps to keep prices under check, while ensuring that farmers receive their rightful due. The plight of sugarcane farmers in Tamil Nadu will clearly show how the state government has miserably failed on both counts. As a result, though they produce sweet-tasting sugarcane, the lives of sugarcane farmers in the State have turned extremely bitter.

Let us explain with some revealing statistics :

1. During the 2005-2006 grinding season, when the AIADMK was in power in the State, sugarcane farmers were being paid a support price of Rs 1,014 per tonne of cane. Of this Rs 795 had been announced by the Central Government and Rs 219 by the State. Sugar, at that time was available in the open market between Rs.12.50 and Rs 14 a kilogram. Today (2009-2010), the Centre’s support price for cane stands hiked to Rs 1298.40 per tonne. But the State Government’s support price has been reduced to a mere Rs 139, thereby restricting the intended benefit to the farming community to Rs 1437.40. In the meantime, the cost of sugar in the open market has gone up to Rs 44 a kilogram!

2. As a result of the state government’s warped sugarcane pricing policy, more and more farmers have opted out of their traditional occupation and moved into alien fields. Consequently, sugar production, which was 21.38 lakh metric tonnes in
2005-2006 dropped to 16.16 lakh metric tonnes in 2008-2009. This drastic decrease in production, which is in inverse proportion to demand, is one of the main causes for the multi-fold increase in the price of sugar in the open market, opening the doors for black-marketeers, hoarders and sundry other anti-social elements to exploit the demand and supply situation.

3. For the State Government to dismiss the present situation as a reflection of the national trend, and to justify it claiming that an increase in the procurement price would trigger a price spiral is a farcical attempt to shirk responsibility. The support price for sugarcane in Uttar Pradesh is Rs 2100 per tonne. Most other States of India offer support prices much higher than that given by the Tamil Nadu Government. Sugar mills in some of the Northern States even pay as much as Rs 2250 per tonne.

It is the duty of the State Government to ensure a sustainable price for sugarcane. Otherwise, cane cultivation will dwindle and the State will have to resort to large-scale import of sugar to meet the gap between supply and demand. This will only send the price of sugar in the open market soaring, while at the same time breaking the back of the sugarcane farmers in the State, virtually driving them into a debt trap – possibly even to suicide.

To ensure that such an eventuality does not take place, we request the Prime Minister to increase the fair and remunerative price of sugarcane substantially and also impress upon the Government of Tamil Nadu to increase its support price for sugarcane procurement so that the price is at least Rs 2,500 per tonne. Otherwise, sugarcane production will come to a virtual halt, sugarcane cultivators will be driven to the brink and the State will face a major deficit in sugar, forcing it to go in for
large-scale import and this in turn will push up the price of sugar far beyond the reach of the common man.

India, as a Nation, has shown tremendous resilience to come out of the shock of the global recession. India, as a Nation, is now all set to shift gears and transform itself into a global superpower. But all of the Nation’s dreams and aspirations will come to naught if a State with tremendous potential, like Tamil Nadu, chooses to be tardy and sloppy, virtually retarding progress. As mentioned at the outset, the rot is to be seen in every aspect of governmental functioning and the sugarcane issue is only a case in pointer.

A State Government should function solely for the benefit of the State and its people. An anti-people government has no place in a democracy. Neither does a non-performing administration. The minority DMK government in Tamil Nadu is both anti-people and non-performing. We beseech the Centre to do what it thinks is right to liberate Tamil Nadu and the Tamil people from the vicious clutches of this anti-democratic, anti-people, family-run enterprise.

With kind regards and best wishes.

Yours sincerely,
J JAYALALITHAA
(General Secretary – AIADMK)