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N. India mills scramble for sugarcane supplies.

Asia Africa Intelligence Wire

| November 30, 2004 | COPYRIGHT 2003 Financial Times Ltd. (Hide copyright information)Copyright

(From Business Line)

New Delhi, Nov. 29 - AFTER a gap of nearly five years, a fresh 'sugarcane war' has seemingly broken out in the North, prompted by a combination of scarce crop availability and State Governments' renewed populist rigour.

The trigger for the latest war has come from the Haryana Chief Minister, Mr Om Prakash Chautala, who with a clear eye on the forthcoming elections to the State assembly, has announced a cane price of Rs 115-117 a quintal to be payable by mills during the 2004-05 sugar season (October-September).

This is as against the existing price range of Rs 104-110 a quintal, which is, in fact, the price that Mr Chautala …

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