The Government of Bihar, on June 30, 2026, notified the Bihar Sugarcane Industry Investment Promotion Policy 2026.
The following has been stated:-
•The policy aims to boost the sugarcane sector in Bihar by promoting processing, value addition, technical upgradation, and the reopening of closed mills to increase farmers' income and generate employment.
•The policy is effective from its date of notification and will remain operational for a period of five years, lasting until March 31, 2031.
•It provides capital grants up to ₹70 crores for setting up new sugar mills (minimum 3500 TCD) and ₹15 crores for the capacity expansion of existing mills.
•Incentives are also extended to allied sugarcane industries, including ethanol/distillery units, cogeneration power plants, and compressed biogas (CBG) plants.
•The Sugarcane Industries Department of Bihar will act as the nodal agency, overseeing execution and monitoring through a specially formed Project Monitoring Committee (PMC).
The detailed notification is given in the document below.
[Notification No.: 02/Regu-02-7003/2021-1231]
