Chandigarh, Jan 20: The Punjab Cabinet has authorized a direct subsidy of Rs 68.5 per quintal for sugarcane farmers to be paid during the 2025-26 crushing season. Chaired by Chief Minister Bhagwant Mann, the Council of Ministers confirmed the subsidy will be paid on behalf of private sugar mills directly into the accounts of growers.
This financial support maintains Punjab’s position as the provider of the highest sugarcane rates in India. The State Agreed Price (SAP) currently stands at Rs 416 per quintal, following a recent increase of Rs 15 from the previous year. The Chief Minister’s Office noted that this measure is intended to solidify income security for the farming community.
“This ensures that Punjab’s cane growers remain the best compensated in the country,” a government representative stated while discussing the move to strengthen the agricultural economy.
The administration also moved to bolster the state’s horticulture sector through international cooperation. The Cabinet approved a partnership with the Japan International Cooperation Agency to integrate advanced Japanese technology into local farming. This collaboration aims to double horticulture’s contribution to the state economy by improving water management, cold chain infrastructure, and specialized skill development.
