Fair and Remunerative Price of Sugarcane for Season 2026-27 announced
New Delhi, May 5: The Cabinet Committee on Economic Affairs (CCEA) today approved Fair and Remunerative Price (FRP) of sugarcane for Sugar Season 2026-27 (October – September) at Rs.365/qtl for a basic recovery rate of 10.25%.
It constitutes a premium of Rs.3.56/qtl for each 0.1% increase in recovery over and above 10.25%, & reduction in FRP by Rs.3.56/qtl for each 0.1% decrease in recovery.
The Government also decided that there shall not be any deduction in case of sugar mills where recovery is below 9.5%. Such farmers will get Rs.338.3/qtl for sugarcane in ensuing sugar season 2026-27, an official spokesman said.
The cost of production (A2 +FL) of sugarcane for the Sugar Season 2026-27 is Rs.182/qtl. This FRP of Rs.365/qtl at a recovery rate of 10.25% is higher by 100.5% over production cost.
The FRP for Sugar Season 2026-27 is 2.81% higher than current Sugar Season 2025-26.
The FRP approved shall be applicable for purchase of sugarcane from the farmers in the Sugar Season 2026-27 (starting w.e.f. 1st October, 2026) by sugar mills.
The sugar sector is an important agro-based sector that impacts the livelihood of about 5 crore sugarcane farmers and their dependents and around 5 lakh workers directly employed in sugar mills, apart from those employed in various ancillary activities including farm labour and transportation.
