SAKHAR GHOTALA Congress ka Hath Mahangai ke Sath Dr Kirit Somaiya BHARATIYA JANATA PARTY 1

STORY OF SUGAR SCAM The sweet sugar has turned sour. Mithi sakkar kadavi ho gayi. Aam aadmi, who was getting sugar at Rs.14/kg 2 years back, has to pay Rs.50 per kg now. Finally, Govt. solution for preventing Diabetes. Sugar out of reach of common man. Drastic drop in Diabetes cases Is this manipulation, mismanagement, speculation or scam? This is a scam of Rs.5,000 crores. BJP demands CBI investigation. Dr. Kirit Somaiya

Story of Sugar Scam In January 2010 alone, few big sugar companies shall take out Rs.4,000 crores from the common consumer’s pockets in the sugar import business. The recent Rs.10 per kg jump in the sugar price is just due to this manipulative and speculative tactics. Actually, there is no shortage of sugar at present. Recently, 200 crore kilograms sugar have been imported by these 9 major sugar companies including Bajaj Hindustan, Simbhaoli Sugars. The cost of raw sugar import is Rs.18 to 20 per kg. After getting it processed/refined, cost of saleable white sugar will be Rs.25 per kg. 3

Story of Sugar Scam These companies are not interested in picking up the stock, getting it processed and making available in the retail market. It is kept at godowns/SILO storage facilities at Mumbai. The cost of import is around $400 per ton to these companies. The manipulation resulted into steep rise in the sugar price to $800 per ton. Why the Government has not imported raw sugar at Rs.20 per kg through Govt. agencies - STC and MMTC ? What about Mr. Sharad Pawar announcement of Importing Sugar by Govt Agencies in July 2009 ? This is a Rs.5,000 crore Sugar Scam. BJP demands CBI investigation of this Scam. 4

STORY OF Sugar Scam Sakhar Ghotala chi Gosht It is shocking that India exported lacs of tons of rice and sugar in Sugar was exported at the rate of Rs per kg and the rice at just Rs.14 per kg. An Indian, common man has to pay Rs.50 for sugar and Rs.48 for the rice Farmers are getting only minimum price. Sugar is sold at Rs.50 per kg. Sugar cane has been sold at Rs.80 to 100 per quintal when the sugar was Rs 17/kg. Wheat has been purchased from the farmers at Rs.9 per kg, sold at Rs.24. For rice, the farmer has been given Rs.10 to Rs.12 per kg and the common man/common consumer is paying Rs.45 per kg. 5

Production of Sugar ( in lakh tonnes ) Item Produc tion Produc tion Produc tion Product Ion (target) Sugar cane Sugar N.A. 6

Production Sugar Bumper Sugar Cane production of 3555 lac ton in 2006/07 & 3481 lac ton in 2007/08 Bumper production & stocks of sugar Surplus production, availability but prices got double Farmers got minimum price but Customers are paying Double MNC’s, Corporate & Commodity Exchanges are Beneficiaries 7

Production Sugar Sugar production in 2006/07 was 282 lac ton & 2007/08 was 264 lac ton, highest in last few years India exported 48 lac ton sugar in Rs 12.50/kg & start importing the cost of which comes to Rs 25 to Rs 28 Govt data says sugar was going out & coming in the country at the same time i.e. march 2009 Country exported 48 lac ton Rs 12.50/kg in 2008/09 goes for import in the same year Rs 25/kg & above Artificial shortage, Govt manipulative policies, MNC & Corporate, Commodity Exchanges becoming Den of Speculation result into ‘Sugar Price Inflation’ 8

EXPORT & IMPORT It is observed that, in the beginning of 2009, India exported sugar at Rs per kg and in the same year import contract was extended at Rs.35 per kg In March 2009, at JNPT/Kandla Ports, we had 2 types of sugar shipments – one bringing sugar in – cost of white sugar supposed to be Rs.25 per kg and simultaneously second shipment was taking out sugar, i.e. export of white sugar at Rs per kg Congress UPA govt created artificial shortage of wheat in & imported cheap quality of RS 18/kg. At the same time Indian farmers were paid Rs 8.50/kg 9

STORY OF SUGAR ENOUGH STOCK-AVAILABILITY – YET PRICES TOUCHING SKY Story of Sugar is nothing but manipulation by The Sugar Samrat Prices have gone up from Rs 22 to Rs 50/kg in just one year. An sugar exporting country is converted into importing country India produced 573 lac tons sugar during The country had opening stock of 105 lac tons Total availability of sugar for these 3 years was 678 lac tons Yearly consumption of sugar including consumption by confectionary and sweet manufacturing industry was 213 to 220 lac tons 10

STORY OF SUGAR ENOUGH STOCK-AVAILABILITY – YET PRICES TOUCHING SKY With annual consumption of sugar 200 to 220 lac tons, lac tons production of lac tons opening stock, we had sugar surplus, i.e. opening stock of around 31 lac tons sugar in Diwali/October This is purely Indian sugar Though there was enough sugar available in the Indian market, prices of sugar went up from Rs.17 per kg to Rs.34 per kg in Diwali

SUGAR – PRODUCTION-CONSUMPTION-AVAILABILITY (Source: Indian Sugar Manufacturers’ Association) in lakh tonnes) (Est) Opening Stock Production Imports Total Availability Off-take (a) Internal Consumption (b) For Exports Closing Stock as on 30 th Sept

Story of sugar (“for the “sugar year 1/10/2008 to 30/9/2009) (in lakh tonnes) OPENING STOCK100 PRODUCTION 147 SUGAR AVAILABLE 247 LESS CONSUMPTION 223 OPENING STOCK ON 1/10/ IMPORTED RAW SUGAR DURING OF SUGAR FACTORIES AS ON 1/10/

SUGAR AVAILABILITY ENOUGH STOCK – YET CONGRESS GOVT. SHOUTED SCARCITY Congress Govt created a climate of artificial shortage. This resulted in speculative transactions & scarcity, which resulted in doubling of sugar prices in a year In 2009 India had sufficient stock/availability of sugar. 100 lac ton opening stock & production of 147 lac ton. Consumption 223 lac ton. In October 2009 i.e. Dipawali we had 22lac ton opening stock of Indian sugar. Than why the sugar price got Double ? Sugar prices in the beginning of 2009 quoted at Rs.22 now quoted at Rs.50/kg in the beginning of

SUGAR PRICES IN 2010(contd) The manipulator knowingly ignoring the fact that the MSP/price paid for sugar cane to Indian farmers is Rs.85 to Rs.100 per ton. The cost price of sugar produced in India cannot be beyond Rs.14 to Rs.18/kg for the year Diwali 2009 to Diwali India has its own sugar of around 200 lac tons – 160 lac tons Indian production of 2010 and the opening stock of around lac tons As per the Indian Government, around 50 lac tons sugar had been imported prior to October The cost of the same comes between Rs.22 to Rs.28/kg Then why the retail price in India is Rs.50/kg? Is it mismanagement or manipulation? 15

PRICE RISE OF SUGAR in Urban India ( Source : Parliament reply of Price Rs./kg ) City As on As on Delhi32 50 Mumbai3345 Kolkata3046 Chennai

Subsidy on Export of Sugar INTERNAL TRANSPORT & FREIGHT CHARGES UNDER RULE 20 A (NEW SCHEME ) (in lakh tonnes) YEARACTUAL EXP.(IN CRORE) upto TOTAL

SUGAR EXPORT Rs & Rs 38 PeriodUnitQuantityValue (Rs.)Rs./kg April 2007 – March 2008 Ton April 2008 – March 2009 Ton

Sugar Export Import Scam ? In march 2009 Indian port/docks had simultaneous shipments of export & import of sugar. Difference was the price. Rs 12 to Rs 16 & Rs 34 to Rs 44. Govt paid thousand crores subsidy Rs 1.44/kg to this exporters Farmers got the same price of Rs 85/quintal for his sugarcane & consumer paying double rate Are the exporting/importing Companies/Multinationals same Who are the beneficiaries ? Require Investigation 19

Name of the Sugar Company Price as on Bajaj Hindustan Balrampur Chini Dhampur Sugar Shree Renuka Sugar Sir Shadilal Enterprises Triveni Engg SUGAR COMPANIES SHARE PRICES AT BSE 20

Story Food Inflation-Corporates & Multinationals EnjoyEarned Lucrative Profit in Two Years Farmer faced disaster & got uprooted in sugar cane price in last four years Farmers got minimum price for their crop Consumers are looted in day light Companies & MNC minted Money Share price of Sugar Companies increased by hundreds of percent in last two year Many Sugar Companies Share Price have tripled in last nine months at Stock Exchange Is it mismanagement or manipulation? 21