The consumer affairs ministry has asked Uttar Pradesh government to change the pricing policy of sugarcane and implement the revenue-sharing model. Under the revenue-sharing formula, the total revenue generated from the cane-sugar value chain is shared between farmers and millers in the ratio of their relative costs in producing cane at the farm level and converting it into sugar and its by-products at the factory level. There is no link between cane and sugar prices under the current pricing policy followed by the state. For 2016-17 (Oct-Sep), price of cane in Uttar Pradesh, higher than fair and remunerative price, was raised by 25 rupees per 100 kg to 305 rupees. For 2017-18, government raised fair and remunerative price of cane to 255 rupees per 100 kg, linked to a basic recovery rate of 9.5%. For each 0.1% increase in recovery rate over and above 9.5%, the fair and remunerative price would be increased by 2.68 rupees per 100 kg. The fair and remunerative price of cane is the minimum price that sugarcane farmers across the country are guaranteed. It is fixed by the Centre, on the recommendations of the Commission for Agricultural Costs and Prices.