Maharashtra Sugar Crisis: Only 15 of 55 Mills Crushing as Farmers’ Protest Enters Day 3
Maharashtra sugar crisis 2026 has entered a critical phase, with only 15 of 55 sugar mills in the state having begun crushing operations for the 2026-27 season, while farmers’ organisations remain firm on their demand to postpone the season until November 15.
For Pune residents, the crisis is no longer just a rural story. Retail sugar prices in Pune’s market yards have already climbed 4% in the past fortnight, with traders warning of further increases if the standoff continues into Diwali.
Chief Minister Devendra Fadnavis on Wednesday appealed to protesting sugarcane farmers to stop their agitation and allow sugar factories to begin crushing operations early.
Speaking to reporters in Pune on October 14, Fadnavis said this year is difficult because sugarcane production is low due to less rain and drought-like conditions. Factories need to start early because there is a shortage of sugar.
| Issue | Fadnavis’s Statement |
|---|---|
| Crushing start date | Government wants factories in Maharashtra to start from October 15 |
| Karnataka competition | Factories in Karnataka already started on October 1. If Maharashtra starts late, Karnataka factories will buy sugarcane from Maharashtra farmers, hurting state factories |
| Production shortage | Low sugarcane production due to drought; need to start early due to sugar shortage |
| Both sides facing problems | “Both farmers and factories are facing problems. I ask everyone to understand each other and cooperate instead of making things harder” |
| FRP payments | Maharashtra has already paid more than 99% of the fixed price (FRP) owed to farmers — the highest rate of payment in the country |
| Drought relief | Announced advance payment of ₹5,000 for drought-hit farmers; drought relief now covers 305 talukas (up from 265) |
Maharashtra sugar crisis 2026 : Highway Blockade Continues
The Mumbai-Bengaluru National Highway (NH-48) at Kognoli toll plaza on the Maharashtra-Karnataka border remains blocked for the third consecutive day. The protest, led by Raju Shetti’s Swabhimani Shetkari Sanghatana and Karnataka’s Rayat Sangha, has caused severe traffic disruptions.
Kolhapur Range Special IGP Ranjan Kumar Sharma issued a video advisory urging commuters to avoid NH-48 and use alternative routes via Karad-Ashta-Sangli-Miraj to reach Belagavi.
The highway blockade follows a failed meeting in Delhi on October 12 between farmer leaders and Union Ministers Pralhad Joshi and Shivraj Singh Chouhan. Farmers rejected the government’s proposal to form a committee, calling it a delaying tactic.
What’s Happening on the Ground
Despite the government’s October 15 deadline for the crushing season, ground realities tell a different story:
| Status | Number of Mills |
|---|---|
| Crushing started | 15 (since Oct 8) |
| Puja performed, waiting | 40 |
| Licences granted | 30 |
| Licence applications | 213 |
Sugar Commissioner Dr. Sanjay Kolte has warned of action against mills crushing without licences. Of the 213 applications, 106 are from cooperative mills and 107 from private mills. Only 30 mills have received licences so far, with verification of documents still ongoing.
Maharashtra sugar crisis 2026 : Why Only 15 Mills Are Running
The delay is not just about farmer protests. Here’s what’s actually holding back the season:
- Unmatured Cane: Farmers argue that harvesting in mid-October means processing cane that hasn’t fully matured. Recovery rates are 9% instead of 9-11%, reducing both farmer returns and mill efficiency.
- Licence Bottleneck: The online licence application process, completed in September, has left many mills waiting for clearance. Some mills approached the High Court, and 14 received temporary relief until October 14.
- FRP Arrears: A staggering ₹175 crore in Fair and Remunerative Price (FRP) dues remains unpaid to farmers by 25 sugar mills. Notably, 10 of these mills are linked to political leaders or their families.
The Political Fallout
The crisis has exposed a rift within the Mahayuti government. Abhijit Pote, a youth leader from Eknath Shinde’s Shiv Sena, has publicly demanded ₹5,000 per tonne for sugarcane and threatened indefinite agitation — a direct challenge to the government’s policy.
Meanwhile, Fadnavis has warned that Karnataka mills — which began crushing on October 1 — will buy Maharashtra’s cane if the state delays further.
What Farmers Actually Want
The demands go beyond just the FRP:
| Demand | Current | Farmers Want |
|---|---|---|
| FRP (per tonne) | ₹3,650 | ₹5,000–₹5,500 |
| Sugar MSP (per kg) | ~₹31 | ₹50–₹60 |
| Ethanol price (per litre) | — | ₹70 |
| Season start | October 15 | November 15 |
They also want:
- Government weighing scales instead of mill-owned ones
- Flying squads to inspect scales
- Two-tier sugar pricing (lower for households, higher for industry)
- Immediate clearance of pending FRP dues with interest
How This Affects Pune Consumers
The impact is already visible in Pune’s markets. According to local traders, here’s what Pune residents should expect:
| What | Impact |
|---|---|
| Retail sugar price | Already up 4% in the past fortnight |
| Diwali shopping | Festive demand may push prices higher |
| Food processing industry | Bakeries, sweet shops, and beverage makers face cost pressure |
| Alternative | Jaggery prices may rise as consumers switch |
What Pune consumers can do:
- Stock up on sugar before Diwali if prices continue to rise
- Consider jaggery as an alternative for festive sweets
- Watch for government price controls if the crisis deepens
- Avoid panic buying — supply is expected to stabilize after October 20
Economic Impact
Sugar prices have already risen 4% in the past fortnight due to supply concerns. The Centre has allocated a quota of 16 lakh tonnes for the fortnight starting October 13, but millers say new sugar will only reach markets after October 20.
BB Thombare, president of the West Indian Sugar Mills Association, said: “It takes at least four to five days for sugar to get ready for dispatch after crushing starts. We expect new sugar to reach markets after October 20.”
Preliminary estimates suggest sugar production could fall by 10% this season compared to last year’s 9.9 million tonnes. Industry insiders warn the decline could be higher as large quantities of cane are diverted for fodder and jaggery.
What Happens Next
The immediate question: Will the government accept the November 15 demand, or will the season proceed with only a fraction of mills operational?
Key watchpoints:
- Whether the High Court intervenes further
- Whether FRP arrears are cleared before more mills start
- Whether the protest spreads to other highways
- Whether the Centre announces an MSP increase
- Whether Pune’s Diwali sugar supply is affected
Key Takeaways
| Aspect | Details |
|---|---|
| Mills crushing | 15 of 55 (as of Oct 15) |
| Highway blocked | NH-48 at Kognoli (3rd day) |
| FRP arrears | ₹175 crore across 25 mills |
| Sugar price hike | 4% in past fortnight |
| Season delay | Farmers demand Nov 15 start |
| CM’s appeal | Start crushing from Oct 15; Karnataka will buy our cane if we delay |
| Pune impact | Retail sugar prices rising; Diwali supply at risk |
The sugar crisis is now a test of both the state government’s crisis management and the limits of farmer patience. With Diwali approaching and sugar prices rising, the pressure to resolve this impasse is only going to intensify.
This article is based on Fadnavis’s press statement in Pune on October 14, 2026, reports from Business Standard, Deccan Herald, Times of India, and ChiniMandi, and statements from the Sugar Commissionerate and local Pune traders as of October 15, 2026. Development is ongoing and details may change.
Also read : maharashtra-sugar-crisis-economics-politics
