Vivek Saraogi, MD of Balrampur Chini told CNBC-TV18 that he finds the recommendations for sugar decontrol exciting. According to him, the recommendations associated with the finished product which is sugar might be implemented soon, while those associated with cane pricing and raw materials will take a little more time. He also believes the pricing formula will take around two to three years before it is actually practised.
Here is the edited transcript of the interview on CNBC-TV18.
Q: Exciting set of recommendations?
A: Yes, I think so.
Q: Realistic or many of these will not see the light of day?
A: If we breakup the recommendation in two parts; finished products and raw material, I am pretty certain and hopeful that the policy associated with the finished product part of it, consisting of sugar and associated with levy and releases, export-import etc. will come through. I think Dr. Rangarajan has referred to the scrapping of state declared cane prices and it should happen, but may take little more time.
Q: What do you think will be the response from the Uttar Pradesh (UP) government about the pricing formula, the raw material part of it? Have you had any early signals of what their stance would be?
A: Dr. Rangarajan's committee went to Lucknow and met the CM and the other bureaucrats of UP. They are also in favour of complete levy abolition but, did not support the cane pricing formula. The cane pricing part and the dereservation part could be a little while away. However, the levy and releases part could be soon.
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