

COIMBATORE: It may be another year of disappointment for jaggery producers, as the state government has once again excluded jaggery from the Pongal 2026 gift hamper distributed through fair price shops ahead of the harvest festival in Tamil Nadu.
Jaggery has been replaced with sugar in the hamper. While jaggery producers have repeatedly urged the government to reinstate the sweetener in the Pongal package, their demands have so far gone unheeded.However, amid the continued exclusion from the festive distribution, jaggery manufacturers and farmers have found some relief this season, as improved market prices for jaggery have helped offset their disappointment.“Owing to a bumper sugarcane harvest following heavy rainfall, cane prices have fallen sharply in Salem, from Rs 3,500 per tonne last year to around Rs 2,500 per tonne this season. With cane prices dropping, jaggery manufacturers have been able to save substantially, as sugarcane is the primary input in jaggery production. In addition, demand for jaggery remains strong in neighbouring Puducherry, Bengaluru and Kerala,” said S Sathish, executive committee member of the Salem Jaggery Farmers and Manufacturers Association.
Traditionally, jaggery produced in parts of Salem is prized for its natural flavour, aroma, and distinctive colour. Hundreds of farmers prepare jaggery in large pans ahead of the Pongal festival in areas such as Kamalpuram, Karuppur, Thottiapuram, Desiangadu, and Akkarapatty in Salem. Apart from Salem, jaggery is also produced across other districts in Tamil Nadu, including Erode, Namakkal, Tirupur, Dharmapuri, and Madurai.
Jaggery manufacturers say that rising demand over the past ten days has led to a slight increase in prices, from around Rs 1,350 per sippam (30 kg) a week ago to approximately Rs 1,500 per sippam, depending on quality. By comparison, prices at the same time last year had peaked at a maximum of Rs 1,300 per sippam.
With cane prices dropping, jaggery manufacturers have been able to save substantially, as sugarcane is the primary input in jaggery production. In addition, demand for jaggery remains strong in neighbouring Puducherry, Bengaluru and Kerala
-- S Sathish, Salem Jaggery Farmers and Manufacturers Association
Jaggery prices are generally linked to sugar prices, with higher sugar prices often driving up jaggery prices. Last year, despite a good sugarcane harvest, sugar prices remained low, keeping jaggery prices subdued. This season, however, a slight rise in sugar prices has contributed to an increase in jaggery prices as well.
Daily jaggery arrivals at the farmers’ market in Sevvapet, Salem, have fallen sharply to around 26 tonnes, down from over 50 tonnes in previous years, despite the availability of good-quality sugarcane. Industry sources attribute the decline to challenges such as labour shortages. Many producers have also shifted to organic jaggery production to cater to rising demand, said C Madhaiyan, president of the Salem Jaggery Farmers and Manufacturers Association.
Over the past few years, the number of jaggery producers in Salem has dropped significantly, from several hundred to just over 100, reflecting the various difficulties faced by the industry.