SF Prep Notes

Sugarcane FRP for 2025-26 fixed at ₹355 per quintal

The CCEA approved a Fair and Remunerative Price of ₹355 per quintal for sugarcane for sugar season 2025-26 at a basic recovery rate of 10.25% on 30 April 2025.

Summary

The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, approved on 30 April 2025 the Fair and Remunerative Price (FRP) of sugarcane for sugar season 2025-26 (October–September) at ₹355 per quintal for a basic recovery rate of 10.25%. There will be a premium of ₹3.46/qtl for every 0.1% rise in recovery above 10.25%, and an equal reduction for every 0.1% fall, but no deduction for mills with recovery below 9.5%, where farmers will get ₹329.05/qtl. The FRP is 105.2% higher than the A2+FL production cost of ₹173/qtl and 4.41% higher than in 2024-25. It applies from 1 October 2025 and is based on CACP recommendations.

Key facts

FRP 2025-26
₹355/qtl at 10.25% recovery
Premium / reduction
₹3.46/qtl per 0.1% change
Floor
₹329.05/qtl where recovery below 9.5%
A2+FL cost
₹173/qtl (FRP 105.2% higher)
Increase
4.41% over 2024-25
Applicable from
1 October 2025
Basis
CACP recommendations

Practice MCQs 3 questions

Q1

What Fair and Remunerative Price (FRP) of sugarcane was approved for sugar season 2025-26?

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Correct answer: A — ₹355 per quintal

The FRP was fixed at ₹355 per quintal for a basic recovery rate of 10.25%.

Q2 Advanced

The sugarcane FRP of ₹355/qtl for 2025-26 is fixed for what basic recovery rate?

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Correct answer: C — 10.25%

The FRP of ₹355/qtl is for a basic recovery rate of 10.25%; below 9.5% recovery there is no deduction.

Q3 Advanced

Consider the following statements about the sugarcane FRP for 2025-26: 1. It is 4.41% lower than the FRP for 2024-25. 2. It will apply from 1 April 2026. Which of the statements given above is/are correct?

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Correct answer: D — Neither 1 nor 2

Neither is correct. The FRP is 4.41% higher than in 2024-25, and it applies from 1 October 2025.

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