DINANAGAR, November 27 — Punjab Chief Minister Bhagwant Singh Mann on Wednesday announced a historic State Agreed Price (SAP) of ₹416 per quintal for sugarcane, making Punjab the highest-paying state in the country for the upcoming crushing season.
The announcement came during the inauguration of a newly expanded Cooperative Sugar Mill and a 28.5 MW co-generation power plant in Dinanagar, Gurdaspur. Mann said the step would benefit sugarcane farmers, particularly in border districts. “Sugarcane is an excellent alternative to water-guzzling crops like paddy and will strengthen our crop diversification efforts,” he said, appealing to the central government to promote sugarcane as a water-saving crop.
The mill, which started in 1980 with a capacity of 1,250 TCD, has been expanded to 5,000 TCD, capable of processing roughly 80 lakh quintals of sugarcane. Mann said the upgrade would improve sugar quality, reduce transportation burdens, and create sustainable revenue from electricity exports, while providing employment to thousands.
A sulphurless refined sugar plant has also been installed, producing premium-grade sugar. The co-generation power plant will export an additional 20 MW to PSPCL, generating an estimated ₹20 crore annually for the mill. Mann said the number of farmers supplying sugarcane would rise from 2,850 to nearly 7,025.
The Chief Minister also announced plans for a medical college in the region and a Government College for Girls in Tarn Taran. Work has started on a new railway overbridge at Jandiala Guru to improve connectivity.
Mann noted other state initiatives, including the ‘Mukh Mantri Sehat Yojana’, offering ₹10 lakh insurance cover, the closure of 17 toll plazas, and free domestic electricity to 90% of households. Earlier, he launched the ‘Fateh Sugar’ brand of sulphurless refined sugar produced at Batala Cooperative Sugar Mill. Cabinet Minister Lal Chand Kataruchakk and Sugarfed Chairman Navdeep Singh Jeeda were also present.