The Center has withdrawn the draft Sugarcane (Control) Order, 2026, saying it will reconsider the proposed framework after receiving objections from state governments and other stakeholders, PTI reported.The Food Ministry had circulated a draft of the order for public comments with a deadline of May 20. The proposal sought to replace the 60-year-old Sugarcane (Control) Order, 1966, with a new regulatory framework that proposes, among other changes, to bring the ethanol and khandsari sectors under government regulation.“Based on the suggestions and comments received from the state governments and other stakeholders, it is deemed necessary to reconsider the draft Sugarcane (Control) Order, 2026,” the ministry said in an office note.The project has drawn opposition from khandsari units and farmers, especially with regard to the proposal to redefine khandsari units.Under the proposed framework, a khandsari unit would have been defined as a unit employing more than 10 workers and having a crushing capacity of more than 500 tons per day. Under the current rules, a khandsari unit is defined as one with 20 or more workers and there is no limit on crushing capacity.Sources said the proposed definition would have brought a large number of small labour-intensive units under the regulatory ambit, which could impact farmers who generally get better prices from khandsari units than from sugar mills.
Representation against the draft focused on concerns that stricter regulations could affect the operation of smaller units and change procurement dynamics in key sugarcane growing areas.Reacting to the government’s decision, BJP MP Sanjeev Balyan, who represents Muzaffarnagar in Uttar Pradesh, said on social media that the draft order had been withdrawn “in the interest of farmers”.“This shows that under the leadership of Prime Minister Narendra Modi, the government is formulating every policy by putting farmers’ consent and welfare above all else,” he said.The withdrawal means that the government will reconsider the draft before initiating changes to the existing Sugarcane (Control) Order, 1966.