Why diversifying away from sugarcane is problematic for Maharashtra farmers

Harshvardhan Patil, president of the National Federation of Cooperative Sugar Factories Ltd (NFCSF), said, “The sugar sector has become the mainstay of the rural economy. It generates Rs 8,000 crore revenue for the government. Farmers across the region, including Vidarbha and Marathwada, have taken to sugarcane cultivation because of financial sustainability and assured livelihood.”

“Sugar mills mindful of the debate about high water-intensive crop have taken quick measures to tackle this issue. Artificial Intelligence and advanced technology are helping the sugar sector minimise water use in sugar cultivation and crushing. It has helped in higher production per acre,” Patil said.

Region-wise data substantiates how even Solapur, which is among the worst drought prone regions in the state, leads with the highest number of sugar mills – 48. In the current season, crushing 219 lakh metric tons (MT) of sugarcane led to the production of 18.87 lakh (MT) sugar.

In the past, the cotton belt of Nagpur and Amravati in Vidarbha had a trend of sugar cultivation, though on a smaller scale. In Nagpur three sugar mills crushed 1.96 lakh MT sugarcane and produced 0.09 lk MT sugar. Four sugar mills in Amravati recorded 12.16 lakh MT crushed with 1.14 lakh MT sugar produced.

Farmer leaders dismiss the government advisory as a short-term measure. They argue unless the state provides farmers with a long-term agriculture model through financial assistance, it cannot venture into crop diversification, which is necessary to adapt to drought conditions.

Swabhiman Shetkari Sanghatana president, Raju Shetti, said, “The primary reason for farmers increasingly turning to sugar cane cultivation in the state is because it provides guaranteed income. The sugar mills are mandated to give a fair renumeration price (FRP). If farmers get an assured Minimum Support Price for other crops, they will be forthcoming to the concept of crop diversification. In the absence of a strong Act that makes MSP compulsory and a punishable offence if not provided, farmers have to opt for distress sale.”

Crop diversification, however, seems to have made little headway in Maharashtra. Farmers are increasingly turning to sugar cane cultivation across Maharashtra whenever they have easy access to water, coupled with good monsoon.
According to a state economic survey (SES) data, land used for sugar cane sowing has seen a phenomenal rise from 1.50 lakh hectare (1960-61) to 13.73 lakh hectare (2024-25). With the last four consecutive monsoons being good, land used for sugar cane was at a record 16.06 lakh hectare (2025-26).

Compared to this, jowar which is less water-intensive and adaptable to drought conditions, has seen a sharp decline over the decades. SES data shows, the area under jowar was 62 lakh hectare (1960-61) and declined to 17 lakh hectare (2024-25). Similarly, bajra, which also consumes less water, has shown a sharp drop from 16.35 lakh hectare (1960-61) to 4.4 lakh hectare (2024-25).

Sources in the agriculture department said, “The crop diversification process was initiated aggressively in 2014-19. District collectors of drought hit regions tried to spread awareness and persuade farmers to cultivate less water consuming pulses and oilseeds. We saw some positive outcome.” The sources added that to sustain this, farmers must be assured income stability and guarantee, which is provided in sugarcane cultivation.

The cultivation of pulses, which was aggressively pushed by the Centre and state for last ten years with incentives, made marginal impact. This reflects in statistics as land used for pulses showed a steady increase from 23.49 lakh hectare (1960-61) to 49.87 lakh hectare ( 2024-25). Unfortunately, the area under pulses drastically dipped to 18.85 lakh hectare ( 2025-26). Reasons cited for this were a mismatch in demand and supply, leading to huge price fluctuations, higher investments and climatic challenges, resulting in farmers unwilling to take risks.

According to Narhari Shivpure, president of Marathwada Pani Foundation, “Farmers base their decision on crop choice on ground realities. They are practical people. When they have easy access to water and good rain, they automatically turn to sugarcane cultivation. Unlike pulses and cereals, cane cultivation is less cumbersome when it comes to pest management. Secondly, post harvest, they are provided all logistical assistance from sugar mills with the assured FRP for sugarcane procured. The income is assured. Along with crop diversification, if the government makes micro-irrigation mandatory, it will help check the massive use of water in the agriculture sector. Through drip and sprinklers, farmers can use water economically, targeting its use on specific areas.”

Water conservation and environmentalist Rajendra Singh had earlier strongly advocated for complete ban on sugarcane in drought regions. He had said, “Unless the government takes drastic steps, you cannot address the problems of underground depleting water tables. Water recharge has to be taken up on priority.”

At the end of April, a total of 207 sugar mills crushed 1036. 29 lakh MT of sugarcane to produce 98.31 lakh MT sugar.