Mahottari sugarcane farmers receive nearly Rs 2bn in overdue payments

MAHOTTARI: Sugarcane farmers in Mahottari district have been paid nearly Rs 2 billion that had been outstanding, the District Administration Office (DAO) said.

The office reported that more than Rs 1.76 billion was disbursed for crops supplied to two sugar mills — Everest Sugar and Chemical Industries in Gaushala Municipality-1 and Siddhibinayak Sugar and Chemical Industries in Gaushala-12.

Farmers delivered 2.8 million quintals of sugarcane in the current fiscal year 2025/26, and payments were calculated and cleared accordingly, said Chief Administrative Officer Kameshwor Yadav.

A government grant to cover part of the payments, amounting to Rs 207 million, has yet to be confirmed. The district payment committee has written to the Office of the Comptroller requesting the due grant.

The payment committee, chaired by the Chief District Officer, expects clearance for the crops handed over to the mills to be completed within the current fiscal year, the DAO added.

(With inputs from RSS)