The Cabinet has set the final cane price at THB 1,083.86 per ton, which is higher than the initial price and means that sugar mills must pay additional sums to cane growers in 15 days.
Mr. Nattaporn Jatusripitak, an adviser to the minister of the PM’s Office, revealed that the Cabinet had approved the designation of the final cane price and the final sugar manufacturing and sale compensation for the 2016/17 production season. The nationwide average final price for cane with the sweetness of 10 C.C.S. has been set at THB 1,083.86 per ton, with an increment of THB 65.03 per C.C.S. The final sugar manufacturing and sale compensation is fixed at THB 464.51 per day. As the final price exceeds the initial price, sugar mills will need to pay the differentials to cane farmers in total within 15 days after the announcement of the final price.
Earlier, the Cabinet approved initial cane prices and sugar sale compensation. The initial cane prices in the 2016/17 production season were set at THB 1,050 per ton, with an increment of THB 63 per C.C.S., for Zones 1, 2, 3, 4, 6, 7, and 9 of THB 1,050 per ton, and THB 890 per ton, with an increment of THB 58.80 per 1 C.C.S. for Zone 5. The initial sugar compensation was THB 450 per ton for the former group and THB 420 for Zone 5. For Zone 8, the sugar mills suspended their operation temporarily.
The determination of the final cane price and the final sugar production and sale compensation for the 2016/17 production season was conducted in compliance with the criteria and methodology prescribed by the law. As both were higher than their initial counterparts, sugar mills are required to pay all compensating differentials to cane growers within 15 days after the announcement of the final cane price and the final sugar production and sale compensation.