In the Bihar Budget, the state government has announced that old and closed sugar mills will be restarted in a phased manner under the “Samriddh Udyog, Sashakt Bihar” initiative of Saat Nischay–3. This has raised fresh hope for the reopening of the Lohat, Sakri, and Raiyam sugar mills in Madhubani district.
A key highlight of the budget is the proposal to set up new sugar mills as well. Given that Madhubani is one of the largest districts in the state, this could lead to the establishment of more sugar mills in the region, boosting local industry and employment.
For the 2025–26 crushing season, the government has announced an increase in sugarcane prices. Farmers will receive an additional ₹15 per quintal for standard and good-quality cane, and ₹20 per quintal for lower-grade varieties. In addition, farmers across the state will get a further ₹10 per quintal incentive, making sugarcane cultivation more attractive.
These measures are expected to encourage farmers in the district to return to sugarcane farming.
The Finance Minister also announced an allocation of ₹49 crore for the Chief Minister Sugarcane Development Programme under the agricultural roadmap for the financial year 2025–26. Under this scheme, breeder seed, foundation seed, and certified seed will be produced. About 7 lakh quintals of certified sugarcane seed will be distributed to farmers at subsidised rates across 28,000 acres, along with support for soil treatment, weed control, plant protection, and fertiliser management.
For 2026–27, the government plans to ensure adequate availability of sugarcane seed by launching a sugarcane nursery programme and setting up a modern tissue culture laboratory under the Sugarcane Research Promotion Programme. Additionally, a sugarcane transport subsidy scheme will be implemented to help supply extra cane from non-mill areas to sugar factories.
Reacting to the budget, Aghnu Yadav, State General Secretary of the Hind Mazdoor Sabha, said the announcement has revived hopes that all three sugar mills will finally reopen. He noted that sustained efforts and movements had been carried out for this cause and congratulated the Prime Minister and the Chief Minister on the decision.




