New Delhi, Oct. 14 -- The Centre on Wednesday constituted a committee to examine demands for higher payments to sugarcane farmers and a revision in the minimum selling price of sugar, amid concerns over rising production costs and the financial health of sugar mills.

The committee, headed by former NITI Aayog member Professor Ramesh Chand, will review pricing issues affecting farmers and sugar mills, according to the Ministry of Consumer Affairs, Food and Public Distribution.

The move is significant as the minimum selling price of sugar, which is the lowest price at which mills can sell sugar, has remained unchanged at Rs 31 per kg since February 2019, even as sugarcane procurement costs have increased.

The committee will examine "the ...