Govt to bring incentive policy to promote sugar industry: Deputy CM

Patna: The state govt will soon bring a draft Incentive Policy, 2026 to promote the sugar industry, deputy CM Samrat Choudhary said on Monday. He said the govt’s objective is to increase farmers’ income by promoting sugar cane cultivation and the sugar industry and to provide employment opportunities for youth in Bihar itself.

Addressing a seminar organised by the sugar cane industry department, Samrat said the sugar industry will be promoted through incentives. He said the govt is committed to opening 25 sugar mills in the next five years.


Sugar cane industry minister Sanjay Paswan said PM Narendra Modi and CM Nitish Kumar are committed to promoting sugar industry in Bihar.

Chief secretary Pratyaya Amrit said industrial development was a key priority for the govt and Bihar had resolved to reopen closed sugar mills and establish 25 new units as part of broader efforts to boost investment, employment and economic growth.

More than 700 farmers and 100 scientists participated in the seminar on its opening day and discussed technological innovations and strategies to increase sugar cane production.

Another deputy CM, Vijay Kumar Sinha, said the people of Bihar have expressed confidence in PM and CM and have faith in their good governance. “We will maintain this trust,” he said.

Sinha also said industries were destroyed during the RJD rule. “Today, under the double-engine govt, Bihar is progressing rapidly. The Modi-Nitish duo has taken Bihar to the heights of development,” he added.

Industries minister Dilip Jaiswal said the state govt is implementing the Bihar State Industrial Investment Promotion Policy 2016 with an aim to promoting rapid industrial development, increased investment, and widespread employment generation in the state.

“This incentive policy primarily includes sugar cane within the food processing sector, with the aim of promoting sugar cane-based sugar and ethanol industries and creating new employment opportunities. Sugar cane is one of Bihar’s major cash crops and plays a vital role in our rural economy. This sector is not limited to farming alone, but is directly linked to the livelihoods of millions of farmers and the employment of thousands of workers. We are promoting ethanol and power generation through sugar, jaggery, and sugar cane, as well as byproducts, which not only develops alternative energy sources but also creates new opportunities for industrial investment,” Jaiswal said.

He said 10 sugar mills were operating in the state, with a crushing capacity of over 60,000 tonnes per day. Additionally, this industry is being given a multi-faceted shape through ethanol and power production. “Under Saat Nischay-3, the state govt has pledged to establish new sugar mills and revive closed ones over the next five years. The establishment of new mills in the state will accelerate industrialisation, create new employment opportunities, and reduce youth migration,” he said.