Balrampur Chini Mills Limited (BCML), one of India’s leading sugar producers, has welcomed the Uttar Pradesh Government’s approval of India’s first comprehensive bioplastic policy. This forward-thinking initiative is set to reduce plastic pollution and promote sustainable, eco-friendly alternatives, helping India move towards its goal of Net Zero emissions by 2070.
The new policy provides significant incentives for companies like BCML, which is preparing to establish India’s first industrial PLA (Polylactic Acid) bioplastic manufacturing plant. PLA is a sustainable material made from biomass, such as sugarcane, which is biodegradable, can be recycled, and offers a greener alternative to conventional plastics. The policy includes the following key incentives:
- Companies investing ₹1,000 crore or more will receive a subsidy of up to 50% of their capital investment over 7 years.
- A 7-year interest subsidy will be offered.
- 100% reimbursement of SGST for 10 years.
- Electricity will be duty-free for 10 years.
- Stamp duty exemption on transactions made within a year before or after the policy’s start date.
- Total benefits under the policy are capped at 200% of the investment made.
In addition to financial incentives, the policy promotes research and development in bioplastic materials and supports the entire supply chain, from waste management to recycling. By encouraging the use of agricultural by-products like sugarcane, this policy supports both the environment and agro-based economies, linking India’s agriculture sector to the bioplastics industry.
Mr. Vivek Saraogi, Chairman and Managing Director of BCML, praised the policy, stating, “The Uttar Pradesh Government’s bioplastic policy is a visionary move. As the second largest producer of sugarcane, India is well-positioned to lead in bioplastics. This policy not only addresses plastic pollution but also strengthens the path towards a circular economy.”
Ms. Avantika Saraogi, Executive Director of BCML, echoed his sentiments, saying, “This policy comes at a crucial time, with plastic waste becoming an increasing threat to the environment. It will boost India’s bioplastics sector, create jobs in Uttar Pradesh, and reduce our carbon footprint through lower greenhouse gas emissions.”
BCML’s upcoming PLA plant, with an annual capacity of 75,000 tonnes, will be located near its Kumbhi sugar mill in Uttar Pradesh. With this new policy, BCML expects more investment and innovation in bioplastics, positioning India as a global leader in bio-manufacturing.
About Balrampur Chini Mills Limited
Balrampur Chini Mills Limited (BCML) is one of India’s largest integrated sugar producers, with ten factories in Uttar Pradesh. BCML also operates distilleries and cogeneration plants, with a crushing capacity of 80,000 TCD, distillery capacity of 1050 KLPD, and power generation capacity of 175.7 MW. The company is set to establish India’s first industrial PLA bioplastic plant.