Though the price of a kilogramme of sugar in the market is Taka 60 (sixty), the production cost of a kilogramme sugar at the state-owned largest sugar mills of the northern region- Setabganj Sugar Mills in Dinajpur is Taka 280 (Two hundred and eighty). As a result of such a huge difference between the production cost and the sales price, the accumulated loss at the mills has now stood at Taka 520 crore.
ASM Zakir Hossain, Managing Director of Setabganj Sugar Mills informed, last year the sugar mills produced 2,459 metric tonnes of sugar by crushing some 40,000 metric tonnes of sugar cane.
The same year, Taka 20 crore (200 million) was paid as the salary of the officials, employees and the labourers of the mills and Taka 14 crore (140 million) was paid to the farmers to repay the price of 40,00o tonnes of sugar cane at a rate of Taka 3,500 per tonne. Moreover, the mills now have a loan of Taka 180 crore at the banks.
The interest of the loan is also being paid form the mills' fund. As a result, in total, the production cost per kilogramme of sugar at the mills has been estimated at Taka 280 per kilogramme whereas the price of a kilogramme of sugar at the mill gate is Taka 60 only. Due to a huge production cost against a lesser sales price, the mills is incurring crores of taka loss every year. Till November this year, the accumulated loss at the mills stood at Taka 520 crore.
Setabganj Sugar Mills sources informed, the number of total officials, employees and labourers of the mills is 923 of whom 301 are seasonal and 249 are the contractual staff. Taka one crore 17 lakh is required per month to pay salaries of officials and staff of the mills. Due to an excessive cost of production of sugar and a low sale price, the mills is incurring a huge loss resulting in the non-payment of salaries of officials and staff for last six-month. Moreover, 206.75 metric tonnes of sugar and 1,801 metric tonnes of molasses remained unsold at the mills' store.
According to sources, due to such deplorable condition, the crushing of sugarcane in the mills has been kept suspended during the current season.
ASM Zakir Hossain, Managing Director of Setabganj Sugar Mills further informed, the target of crushing of 45,000 metric tonnes of sugar cane and production of 3,300 metric tonnes of sugar was fixed at the mills during the current season.
The crushing sugar cane at the mills was supposed to start from December-25 but according to the directives of Bangladesh Food and Sugar Industries Corporation, the sugarcanes from the area should be sent to Thakurgaon Sugar Mills where the crushing of sugar cane will be started from December-18.
It is learnt, Setabganj Sugar Mills was established in 1933. In 1972, the mills were nationalised but in 1974 the operation of the mills was closed. In 1982, the mills restarted operation by setting up some new machinery. The crushing of sugarcane at the mills suspended again from December-202o.
