Fair and remunerative price (FRP) is the minimum price at which sugarcane is to be purchased by sugar mills from farmers.
- The FRP is fixed by the Union government Cabinet Committee on Economic Affairs (CCEA) based on the recommendations of the Commission for Agricultural Costs and Prices (CACP).
- The ‘FRP’ of sugarcane is determined under the Sugarcane (Control) Order, 1966.
- Recommended FRP is arrived at by taking into account various factors (cost of production, demand-supply situation, domestic & international prices, inter-crop price parity etc.
Source: The Hindu