Indian Journal of Economics and Development: Forthcoming Issue

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Doubling the Farmer Income by Cooperative Sugar Factory- A Case Study of Shree Vighnahar Cooperative Sugar Factory in Maharashtra


Shruthi Gadhe, Karande Priyanka, Srihari Theetla and S.Manikandan



The cooperation and coordination is the basis of human society. First builds the society while other manages it. The beauty of the rural cooperative movement is these big establishments of hundreds of crores of rupees are owned by semiliterate and poor farmers. Indian sugar production is characterized by a cyclic production pattern with typical sugar cycles lasting 2-3 years, as production adjusts to fall in price which in turn leads to lower supplies, price increase and higher production. In Maharashtra there was only one sugar factory in 1950-51. The numbers of sugar factory was increased up to 202 in 2015 (Sugar Commission rate Maharashtra, Pune, 2015). Maharashtra state has been purposively selected for the study as it has highest number of cooperative sugar factories in India. From the study it is proved that high variations in trends in arrival of sugarcane for processing in selected sugar cooperative were observed mainly due the rotation of crops like wheat with sugarcane is being followed by local farmers. This can be avoided by stabilizing the sugarcane prices and immediate returns to the farmers.

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