Patna, Sep 25 (IANS): In an effort to promote the jaggery industry in Bihar, the state government has allocated ?12.40 crore for its development.
“We urged interested entrepreneurs to apply through the portal to take advantage of the government support. It is a significant step towards strengthening Bihar's traditional jaggery industry and promoting rural economic development,” said Krishnandan Paswan, Bihar's Sugarcane Minister, who confirmed that this funding will be distributed to 81 jaggery units across the state.
The initiative is aimed at encouraging industrialists in Bihar to establish jaggery production units, thereby boosting the local agro-industry. The funds will be provided in the form of loans, with the application process available online through the portal of the state's sugarcane ministry.
The Bihar government, through its sugarcane department, has structured loan amounts to support the establishment of jaggery units based on their production capacity. The financial assistance is aimed at boosting jaggery production while making it easier for industrialists to invest in the industry.
The minister pointed out that for units with a capacity of 5 to 20 tons of sugarcane per day, a maximum loan of ?6 lakh or 50 per cent of the total cost, whichever is lower, will be sanctioned.
Units with a capacity of 21 to 40 tons per day, will be eligible for a maximum loan of ?15 lakh or 50 per cent of the total cost.
A loan of up to ?45 lakh will be sanctioned for the units with a capacity of 41 to 60 tons per day.
Larger units can receive up to ?1 crore in financial assistance if they have a capacity exceeding 60 tons per day.
Apart from the jaggery industry, the minister emphasised Bihar's growing significance in sugar production.
“The state is the fifth-largest producer of sugar in India, with ambitions to become the third-largest,” he said.
Sugarcane is a key commercial crop in Bihar, as highlighted in the state's fourth agricultural roadmap.
Sugar production has shown consistent growth, increasing from 4.51 lakh metric tons in 2006-07 to 6.87 lakh metric tons in 2023-24.