Page 44 - Gujar Mal Modi

CHAPTER

SIX EARLY STRUGGLES

Mr. Modi now concentrated his attention on the develop ment of industry at Be-
gumabad. The third crushing season had brought in its wake a few more serious

threatening problems. Production of sugar during these years had crossed the
demand and in view of the glut in the market, the sugar factories were obliged

to sell their product at below-the-cost prices. This was a period of crisis for the
industry. Mr Modi then hit upon the idea of organising the sugar factory owners

into a syndicate which would control the price levels and also regulate the flow
of sugar stocks in the market. Official blessing came forth readily and thus Mr.

Modi was able to tackle one serious problem of the industry at least temporarily.

While the year 1936-37 was the year of crises for the sugar industry, the year

1938-39 saw it achieve maturity and stability. This year saw the birth of Sugar-
cane Development Cooperative Societies. The concept of having command ar-

eas for sugar mills was also introduced during these days. All the farmers in a
particular area were organised into one cooperative society and all the supplie5

of sugarcane to a particular mill were regulated with the assistance of the coop-
erative society working in that area. The factory owners quickly realised the im-

portance of these societies and a commission of one per cent was fixed in order
to build up the finances of these societies. The amount thus collected was uti-

lised to repair, improve and augment the net-work of roads in the area. Almost
all the new roads which were laid in this area during the course of the early years

were constructed by these cooperative societies which also played a leading
role in improving the lot of the farmers. The growers were now assured of a cer-

tain fixed price for their produce and they had no longer to wait in never-ending
queues outside factories. With his untiring efforts Mr. Modi was thus able to put

the sugar industry in Western U.P. on a stable footing.

At the same time, the welfare of the workers was not neglec ted by Mr. Gujarmal

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