Farmers in Pilibhit, Uttar Pradesh, marched to the residence of Minister Sanjay Singh Gangwar on June 7, 2026 [1], to demand overdue sugarcane payments.
The protest highlights a growing financial crisis for local growers who rely on the Majhola Cooperative Sugar Mill for their primary income. With the mill remaining closed, farmers face an immediate threat to their livelihoods and an inability to recover costs for their harvests.
Protesters demanded the immediate release of pending dues and the reopening of the Majhola Cooperative Sugar Mill [1]. The facility has been inactive for several years, leaving a vacuum in the local agricultural processing infrastructure. This closure has forced farmers to seek government intervention to secure the money owed to them for previous seasons.
City Magistrate Vijay Vardhan Tomar said some farmers from Nawabganj gathered near the minister's residence seeking the release of payments from a sugar factory, which has been closed for some years [3]. The gathering centered on the residence of Gangwar as a means of bringing direct attention to the stalled payments.
Government representatives responded to the demonstrations with a promise of eventual settlement. Unnamed officials said that payments will be made after an auction [2]. The auction is intended to generate the necessary funds to clear the debts owed to the sugarcane growers.
Broadly, the struggle in Pilibhit reflects wider industry volatility. An ISMA representative said that sugar prices remain below production costs [2]. This economic gap makes it difficult for cooperative mills to maintain operations and pay farmers in full, leading to the types of closures and payment delays seen in Pilibhit.
“Officials assured that payments will be made after an auction.”
The unrest in Pilibhit underscores the fragility of the cooperative sugar model in India, where mill closures often leave farmers with no legal or financial recourse for unpaid crops. The reliance on an auction to clear dues suggests a lack of liquid capital within the cooperative system, indicating that the recovery of funds may be slow and dependent on third-party buyers rather than guaranteed government subsidies.
