The Indian government has announced an increase in the minimum price payable to sugarcane farmers to ₹365 per quintal for the 2026-27 season, up from ₹355 in the previous year. This price is based on a basic recovery rate of 10.25%, with farmers receiving a premium of ₹3.56 per quintal for every 0.1% increase in recovery above this level. Notably, there will be no deductions for mills where recovery is below 9.5%, ensuring that farmers in such cases will still receive ₹338.3 per quintal. This new pricing structure is 100.5% higher than the estimated cost of production, which stands at ₹182 per quintal, and represents a 2.81% increase from the ongoing 2025-26 season. The decision is set to benefit approximately 5 crore sugarcane farmers and 5 lakh workers in sugar mills and related sectors, highlighting the government's commitment to supporting agricultural livelihoods.