The Bihar government has taken a major step to modernize sugarcane farming in the state and increase farmers' income. It has made it mandatory for all sugar mills in the state to establish Custom Hiring Centers (CHCs). The primary objective of this initiative is to make modern agricultural machinery easily accessible to small and marginal farmers.
Mandatory Service and Current Status
During a recent review by the Sugar Industry Department, it was found that most sugar mills have not yet actively established CHCs. At present, only three sugar mills have fully operational centers. Expressing dissatisfaction with the slow progress, the government has directed all remaining mills to set up these centers at the earliest.
Addressing the Shortage of Agricultural Machinery
The review also revealed that the existing centers operated by the Agriculture Department and JEEViKA lack specialized machinery required for sugarcane cultivation. To address this gap, the government has instructed sugar mill managements to assess the machinery requirements in their respective areas. Detailed reports will be submitted to the Sugarcane Commissioner so that appropriate equipment can be provided based on local needs.
New Mechanization Policy
Based on the reports received from sugar mills, the Bihar government is preparing a comprehensive new Mechanization Policy to strengthen farm mechanization. The policy will focus on increasing the use of modern technology in sugarcane cultivation, making farming operations more efficient, convenient, and modern compared to traditional methods.
Lower Costs and Direct Benefits to Farmers
According to the Sugar Industry Department, CHCs will enable farmers to rent modern agricultural machinery at affordable rates. This will reduce input costs while increasing the area under sugarcane cultivation and overall production. Ultimately, the initiative aims to improve the economic condition of sugarcane farmers in Bihar by enhancing their incomes.
Major Reduction in Commission, Big Relief for Sugar Mills
The Bihar government has also taken another major decision to strengthen the sugar industry. It has reduced the commission charged by the Regional Development Council (JDC) by nearly 90%. The decision has been approved by the state cabinet.
As a result, sugar mills will receive significant financial relief. Previously, mills had to pay a commission of 1.80% on the price of sugarcane, but this has now been reduced to 0.20%. This reduction is expected to lower production costs and improve the financial health of sugar mills.
Farmers' Interests Also Given Priority
According to the Additional Chief Secretary of the Sugar Industry Department, the decision was taken while keeping the interests of both sugar mills and farmers in mind.
Earlier, the commission was used for farmer welfare activities such as agricultural development, improving seed supply, and resolving farmers' problems. However, in recent years, several sugar mills have been facing financial difficulties. Mill owners had requested a relief package from the government, which led to this decision.
Plan to Revive the Sugar Industry
This decision is part of the Bihar government's broader plan to revive the state's sugar industry. Under the plan, closed sugar mills will be reopened, and 25 new sugar factories will be established in Bihar.
While this move provides considerable relief to sugar mills, it will also be important to assess its impact on programs related to farmers' development and welfare in the future.



