Darshana Sugar Mill set to incur loss this year

This is the lone sugar mill in the country which earned profit last year.

The mill authorities hope to resume production today but related sources would only hope against hope.

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The disruption in production has also thrown about 20,000 farmers in the mill zone into uncertainty with their sugarcane grown on about 13,000 acres of land this year, mill sources and farmers told this correspondent during a recent visit to the area.

The mill started sugarcane crushing on November 18 with a target to produce 14,108 tonnes of sugar from 1,65,000 tonnes of sugarcane in 132 working days.

Forty-three days into operation, its main turbine broke down on December 31, stopping production after crushing 54,000 tonnes of sugarcane.

The mill sources said a crack developed in the turbine (rooter generator) on November 26. The mill authorities kept the mill running by repairing the turbine but it broke down on December 31.

They said the mill has two old turbines, never repaired since setting up of the mill in 1986.

This year, production was started with one turbine as the other is out of order for several years.

Before starting production this year, the mill authorities drew the attention of higher authorities of BSFIC (Bangladesh Sugar and Food Industries Corporation) to repair the turbines. As there was no response, the mill start production with the lone and partially damaged turbine, they said.

Even after halt in production on December 31, the BSFIC did not respond quickly. BSFIC engineer Abdul Hakim came to the mill on January 4.

The mill authorities said they sent a file to BSFIC several years ago with a request for purchase of a new turbine at a cost of Tk 1.40 crore but the Finance Ministry is still undecided on the issue.

Its Managing Director (MD) Toslim Uddin Pramanik said, "If everything goes well, the mill will resume production today (Monday). We have examined the repaired turbine and it is now fit for functioning," the MD told this correspondent over phone yesterday. "We are hoping some success after a painful wait", he added.

The sugar mill, also known as Carew and Company, has also a distillery section to produce molasses and distillery products.

Last year, the mill produced 11,700 tonnes sugar by crushing 14,26,005 tonnes sugarcane, a record in last several years. The average recovery rate was 8.19 per cent.

The mill earned a profit of Tk 1.50 crore from sugar production and Tk 10.50 crore from distillery products.

The mill also set up a new example by giving 30 paisa incentive per maund of sugarcane to farmers last year.

The mill has 109 days left for this year. Asked whether the sugarcane crushing target can be met by this period, Toslim Uddin said,

"We are not sure of earning profit this year".

The farmers in the mill zone are now at a fix with their sugarcane.

Some of the farmers are trying to sell their sugarcane to other sugar mills like Kushtia Sugar Mill and Mobarakganj Sugar Mill in Jhenidah.

Toslim Uddin said, considering loss of farmers this year, they have decided to buy sugarcane and supply the leftover to other sugar mills.

They have already sent 535 tonnes to Mobarakganj Sugar Mill and 410 tonnes to Kushtia Sugar Mill, he said.

Meanwhile, farmers held a rally at the mill gate on January 18 to press the mill authorities to buy their entire product immediately as the season for other crops is approaching.