Indian Potash Ltd to set up and operate two sugar mills in Bihar

Bihar’s Cooperative Department Minister Ram Kripal Yadav announced on August 12, 2026 that Indian Potash Ltd (IPL) will establish and operate two sugar mills in the states of Madhubani and Darbhanga. The new mills are part of the State government’s "Samriddh Udyog-Sashakt Bihar" initiative, Saat Nischay-3 programme. Yadav stated that the creation of these mills will boost farmers' income and create employment opportunities in the local area.

He confirmed that IPL has signed an agreement for setting up and running the sugar mills, with production expected to commence soon. Additionally, the mills will house distilleries, cogeneration power plants, and Compressed Biogas (CBG) units. The Cooperative Department aims to revive closed sugar mills and modernize the cooperative movement in Bihar, ensuring an effective role for cooperatives in building a "Developed Bihar".

The State government, led by Chief Minister Samrat Choudhary, is committed to revitalizing the cooperative movement and benefiting farmers and disadvantaged communities. The department has set a target to construct 350 panchayat-level vegetable collection centers and 50 block-level infrastructure facilities. Primary Vegetable Producer Cooperative Societies (PVCSs) have been established in all 534 blocks of the State, with each PVCS receiving ₹2 lakh and nine vegetable federations receiving ₹10 lakh per federation as working capital.

The implementation of the Pradhan Mantri Fasal Bima Yojana, providing farmers with compensation equivalent to their agricultural costs, has been approved from the Rabi season of the 2026-27 financial year.