Patna, July 29: Prime Minister Narendra Modi is scheduled to lay the foundation stones for two sugar mill projects in Bihar’s Madhubani and Darbhanga districts on November 20, state Sugarcane Industries Minister Sanjay Kumar said on Wednesday.
The proposed mills will be located at Sakri in Madhubani and Raiyam in Darbhanga. Both facilities are expected to function under the state’s cooperative framework, with preparations for the proposed foundation-laying programme currently underway.
The projects form part of Bihar’s wider plan to strengthen the sugar sector, restore industrial activity at closed mills and increase opportunities for sugarcane growers.The state government has set a target of establishing 25 new sugar mills over the next five years under its industrial development programme.
The initiative is expected to expand employment opportunities and support economic activity in sugarcane-producing regions.Kumar said the state had introduced the Bihar Sugarcane Industry Investment Promotion Policy, 2026, to encourage private investment and promote industries linked to sugarcane.
The policy also seeks to increase the area under sugarcane cultivation and improve the supply of raw material for mills.The government is providing farmers with access to 45 categories of modern agricultural machinery at subsidised rates to improve cultivation practices and raise productivity, the minister said.
Sugarcane Industries Department Secretary Dharmendra Singh said the state had introduced several farmer-focused programmes covering seed development, mechanised farming, nursery expansion and the promotion of sugarcane cultivation in areas earmarked for new mills.
The department has also entered into agreements with three national-level institutions to support research, technology and the growth of the sugarcane sector, he said.The government plans to develop future sugar units as integrated sugar complexes.
Besides producing sugar, these facilities may generate ethanol, electricity and biogas, helping create additional revenue streams and employment opportunities.The state has approved ₹43 crore to address pending sugarcane payment liabilities associated with the Sasamusa sugar mill in Gopalganj district.
Officials said payments related to earlier crushing seasons would be processed after the mill resumes operations and completes a crushing cycle.Efforts are also underway to resolve issues affecting the revival of the Marhaura sugar mill in Saran district.
The government is examining suitable land for another sugar project in the district, while approval has been granted for the recovery of 266 acres associated with the closed Motipur sugar mill.
The department said Bihar’s sugar mills had paid ₹2,137.83 crore to sugarcane farmers for the 2025-26 crushing season.Officials reported a sugar recovery rate of 10.3 per cent during the season, which they said was higher than the previous year’s level and above the national average.
The government expects its ongoing measures to improve sugarcane output, farm productivity and cultivation coverage in the state.