Life Cycle Analysis of Sugarcane Cultivation in Punjab

The study has looked into the existing system of production to processing of sugarcane in Punjab based on the primary data collected from 120 sugarcane growers for the crop year 2013–14. The sugarcane growers were divided into two groups on the basis of distance from the Fazilka Co-operative Sugar Mills Ltd. The data pertaining to the processing related details of sugar mill were also collected. The variable, cost of sugarcane cultivation, including transportation cost from farm to the mill gate, has been found to be lower ( 22739/acre) in farmers with ‘proximity to mill’ than in farmers from a distant location ( 23949/acre). The cost of processing of sugarcane has been found 4923/quintal, which is higher than the price at which sugar is disposed off by the mill. This has led to the worsening of the liquidity position of the mill, and delayed payment to the sugarcane growers, as pointed out by the respondents to be the major impediment in increasing the sugarcane acreage. The analysis has pointed towards stringent policy measures to remove the impediments in the way of sugarcane cultivation production and processing if sugarcane is to be popularized as a sound diversification option.