Bihar Inks Strategic Partnership to Revive Two Historic Sugar Mills
Patna: In a significant move to rejuvenate the state's industrial landscape, the Bihar Cooperative Department formalized a Memorandum of Understanding (MoU) with the National Federation of Cooperative Sugar Factories Ltd (NFCSF) on Monday. This landmark agreement targets the comprehensive revival of two long-defunct sugar mills located at Sakri in Madhubani district and Raiyam in Darbhanga district.
High-Profile Signing Ceremony and Key Attendees
The MoU signing ceremony was conducted at the Deep Narayan Singh Regional Institute of Cooperative Management in Patna, witnessed by a distinguished gathering of officials. Key figures present included Cooperative Minister Pramod Kumar, Cooperative Department Secretary Dharmendra Singh, and NFCSF Managing Director Prakash Naiknavare. The formal signing was executed by Cooperative Department Joint Secretary Mohammad Abdul Rab Khan and NFCSF Managing Director Prakash Naiknavare, marking a collaborative step forward.
NFCSF's Pivotal Role in the Revival Process
Under the terms of the agreement, NFCSF, which functions as the nodal agency for reviving closed sugar mills nationwide, will undertake several critical responsibilities. These include preparing a Detailed Project Report (DPR) and a Feasibility Report, alongside providing extensive consultancy services essential for re-establishing the mills. As the apex body for cooperative sugar factories across India, NFCSF supports over 260 member units by addressing policy challenges, offering technical guidance, and facilitating modernization efforts.
An official emphasized that NFCSF's vast experience and specialized expertise are anticipated to significantly accelerate the revival timeline while ensuring the economic sustainability of the proposed cooperative sugar ventures. This partnership leverages national-level resources to address local industrial needs effectively.
Ministerial Vision for Economic Transformation
Presiding over the event, Cooperative Minister Pramod Kumar outlined the broader economic implications of the initiative. He confirmed that the revival of the Sakri and Raiyam mills is a priority under the state government's development agenda. "A cooperative society comprising sugarcane-producing farmers will be established for each mill's operational area, providing farmers with a reliable local market outlet," the minister stated.
He further highlighted that this structured approach will guarantee fair pricing for sugarcane growers, foster new employment opportunities in rural regions, and stimulate fresh capital infusion into the local economy. The revival is poised to transform agricultural and industrial dynamics in these districts.
Comprehensive Production Facilities and Historical Context
Officials revealed that the proposed complexes at Sakri and Raiyam will not be limited to traditional sugar production. These facilities are designed to integrate multiple revenue streams, including power generation, ethanol production, and compressed biogas (CBG) manufacturing, enhancing their overall viability and contribution to renewable energy goals.
The decision to revive these mills was made several months ago as part of the state government's "Samriddh Udyog-Sashakt Bihar" (Prosperous Industry-Empowered Bihar) initiative, which falls under the broader "Saat Nischay-3" program spanning 2025-30. A high-level committee led by the Chief Secretary transferred the mills to the cooperative department for revival and operational management.
Both mills have remained non-operational since 1997, with Raiyam originally established in 1914 and Sakri dating back to 1933 during the British colonial era. The Sakri mill encompasses 47 acres of land, while Raiyam spans over 68 acres, featuring a dedicated 14-kilometer trolley line extending to Makdumpur. The process of transferring this land to the cooperative department is currently in progress, laying the groundwork for future development.
Additional Officials Present
The event also saw the participation of Registrar of Cooperative Societies Rajnish Kumar Singh and Additional Registrar of Cooperative Societies Vikas Kumar Bariar, underscoring the departmental commitment to this transformative project.
