Bihar Sugar Industry

Bihar Sugar Industry has flourished in the last couple of years due to the efforts taken by the state government to revive the industry. The Sugar Industry in Bihar has been greatly helped by the fact that the climate of the state is very suitable for the growth of high-grade sugarcane.

The main benefit of the Bihar Sugar Industry for the state is that it provides employment to many people, especially in the rural areas. Further, it provides facilities of transport and communication, and also helps in the development of the rural areas by mobilizing the rural resources. The total number of sugar mills in Bihar Sugar Industry is 28 out which only 9 are operational. The total area under sugarcane production is 2.30 lakh hectares and the total production of sugarcane is around 129.95 lakh M.T. The location of the sugar mills of Bihar Sugar Industry are Samastipur, Gopalganj, Sitamarhi, West Champaran, Chorma, Dulipati, and Supaul.

The major sugar mills of Bihar Sugar Industry are:

Riga Sugar Mill with the sugarcane production capacity of 4.19 lakh quintal

Harinagar Sugar Mill with the sugarcane production capacity of 10.60 lakh quintal

Manjhaulia Sugar Mill with the sugarcane production capacity of 4.22 lakh quintal

Narkatiaganj Sugar Mill with the sugarcane production capacity of 6.59 lakh quintal

Gopalganj Sugar Mill with the sugarcane production capacity of 5.52 lakh quintal

All the sugar mills of the Sugar Industry in Bihar are technologically advanced as a result of which the sugar that is manufactured is of very good quality. Bihar Sugar Industry can be divided into 2 groups – the unorganized sector, which comprises of traditional sweeteners manufacturers, and the organized sector, which consists of sugar factories. The producers of traditional sweeteners are considered to be a part of the rural industry and they manufacture khandsari and gur. These are consumed mainly by the rural people and are produced in substantial quantities.

The total production of sugar in Bihar Sugar Industry was 4.21 lakh tons in 2002-2003 and in 2003-2004, the figure stood at 2.77 lakh tons. Again, in 2004-2005, the figure was 2.77 lakh tons. The state government, in order to boost the Sugar Industry in Bihar has decided to privatize the state-run sugar mills that have not worked for many years. The state government has also approved the proposal for the setting up of 15 new sugar mills in the state which will bring in an investment of Rs. 3,771 crore in Bihar Sugar Industry.