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Bihar Woos Investors with New Sugarcane Policy, Targets 25 New Sugar Mills

Bihar has showcased its new sugarcane investment policy at a national conference, targeting 25 new sugar mills and promoting ethanol, bio-energy and other sugarcane-based industries.
Indian Masterminds Stories

Patna: Bihar is stepping up efforts to attract investment in sugarcane-based industries, with the state government targeting the establishment of 25 new sugar mills and ancillary units under the Bihar Sugarcane Industry Investment Promotion Policy–2026.

The policy was presented by the Bihar Sugarcane Industries Department at the two-day India Sugar & Bio-Energy Conference in New Delhi on September 9 and 10, 2026. Industry representatives and investors from India and abroad attended the conference.

Bihar Targets 25 New Sugar Mills

Addressing the conference, Vedvrat Kumar, Joint Cane Commissioner, Sugarcane Industries Department, said the state is working towards setting up 25 new sugar mills and sugarcane-based ancillary industries.

Investors submitting project proposals will receive priority in land allocation and project approval, according to the department.

The government is positioning the policy as a key step towards making Bihar an attractive destination for sugarcane-based industrial investment.

Read Also: Bihar: Aguwani Ghat Bridge Nears Completion, Set to Strengthen Regional Connectivity

Focus on Farmers and Industry

The department is also working to strengthen the ecosystem supporting both farmers and sugarcane industries.

Key initiatives include the Sugarcane Nursery Scheme, Sugarcane Mechanisation Scheme, Seed Development Programme and Sugarcane Area Expansion Programme.

A Project Monitoring Committee and the department’s Investor Facilitation Centre will support investors from DPR preparation to project establishment and operations. The department has invited interested investors to submit their proposals at the earliest.

Ethanol and Bio-Energy Get Push

The new policy aims to expand Bihar’s sugarcane sector beyond traditional sugar production by promoting industries such as ethanol, cogeneration and bio-energy.

Sugarcane Industries Minister Sanjay Kumar said the sugarcane sector is an important pillar of Bihar’s agriculture-based economy. He added that the policy will help connect sugarcane with future-oriented industries while supporting investment and value addition.

The minister assured investors of a transparent process and government support under the vision of “Prosperous Industry, Empowered Bihar.”

Bihar Showcases Investment Opportunities

The department also set up a dedicated stall at the conference to explain the policy’s features and investment opportunities.

The conference was jointly organised by the Indian Sugar & Bio-Energy Manufacturers Association (ISMA) and the Department of Food and Public Distribution, Government of India. It was inaugurated by Santosh Kumar Sarangi, Secretary, Ministry of New and Renewable Energy.

The planned expansion could strengthen Bihar’s sugarcane value chain, create industrial opportunities in rural areas and provide a larger market for farmers’ produce.

Read Also: Bihar’s Pulse Processing Push: ₹25 Lakh Subsidy to Boost Farmers’ Income


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