Sugarcane farmers settle for reduced subsidy amid political uncertainty
Summary
Sugarcane farmers in Nepal have accepted a government decision to halve their subsidy amid political changes after protests, with plans to negotiate better terms for the upcoming harvest season.
Key Points
- Sugarcane farmers accepted the government's decision to reduce the subsidy from Rs70 to Rs35 per quintal due to the political uncertainty after the Gen Z movement.
- The subsidy cut was announced by the Cabinet citing pressure on the national treasury, leading to farmers' protests and demands for reinstatement of the original subsidy.
- Farmers produced 2.036 million tonnes of sugarcane last year, but production and sugar output have been declining due to delayed payments and policy issues.
- Nepal's sugar demand exceeds domestic production, leading to imports to cover the shortfall.
