Sudalagunta Sugars owner agrees to clear ₹30 crore farmer dues by November 30
Sudalagunta Sugars management has agreed to pay ₹30 crore in pending dues to sugarcane farmers in two instalments by November 30, 2026.
The management of Sudalagunta Sugars Limited has agreed to settle ₹30 crore in outstanding dues owed to sugarcane farmers, with payments to be completed in two instalments by November 30, 2026. The commitment was secured during a review meeting convened by the Tirupati district administration on Monday.
District Collector S. Venkateswar and Superintendent of Police L. Subbarayudu held the meeting with factory owner Jayaram Chowdary at the Collectorate. Farmers attached to the mill's Unit-1 in Srikalahasti and Unit-2 in Podalakuru took part in the discussions.
The mill, which has been non-operational for several years, has also been linked to an alleged loan fraud. The Collector instructed officials and the management to coordinate closely to arrive at a lasting resolution of the farmers' grievances, stressing that the dues had remained unpaid for a long time and that further delay would not be acceptable.
Rather than accept verbal assurances, the Collector asked for a complete payment plan to be submitted in writing. He directed that an affidavit be filed stating clearly that the entire outstanding amount would be cleared within 60 days.
During the meeting, Mr. Chowdary said efforts were under way to raise the required funds, beginning with ₹15 crore and followed by another ₹15 crore. He assured the administration that payments would be made at the earliest, by the end of November.
As a fallback, he said 50 acres of land in Nellore and unencumbered land in Srikalahasti would be sold if the dues could not be cleared within the stipulated 60-day window, with the proceeds used to settle the farmers' claims. He added that the sale would proceed once bank approvals were completed as part of the next stage of the process, and disclosed that an advance payment of ₹2 crore had already been made to the bank.
Farmers who attended the meeting expressed satisfaction that the district administration had stepped in to address their long-pending demand.