Nine state-owned sugar mills in Bangladesh are set to start their production season from November 15, according to a gazette notification issued by the Ministry of Commerce and Industries on Monday. This marks the beginning of the crushing season for the mills that remain operational.
Additionally, the government has formed an 11-member task force to assess the reopening of six other state-owned sugar mills that have been closed for years. The Bangladesh Sugar and Food Industries Corporation (BSFIC), which oversees the country’s sugar mills, stated that the task force’s findings will influence the government’s future decisions on these closed mills.
As per the gazette, the North Bengal Sugar Mill will initiate production, with eight other mills following in a staggered schedule. Rajshahi and Natore Sugar Mills are set to start on November 29, Jhil Bangla Sugar Mill on December 6, and Thakurgaon, Mobarakganj, Faridpur, and Joypurhat Sugar Mills on December 20.
BSFIC previously indicated a plan to reopen closed mills gradually and has now taken steps by establishing a dedicated task force. The six mills that remain closed include those in Kushtia, Panchagarh, Pabna, Shyampur, and Setabganj, and have not been operational for several years.
The interim government appears committed to reopening these mills, with various organizations submitting proposals to the Industry Advisor, Adilur Rahman Khan, for exploring reopening strategies. Abdullah Al Kafi Ratan, president of Jatiya Shramik Kormachari Songram Parishad, emphasized the importance of the task force in developing a feasible plan to restore these mills to profitability.
The task force, chaired by the BSFIC chairman, includes Secretary Abdus Rahim Siddiqui, Joint Convener Abdullah Al Kafi Ratan, the BSFIC’s Planning and Development Director, Chief Engineer, Dhaka University’s Accounting Department Associate Professor Moshahida Sultana, and representatives from labor and farming communities.
Task force sources indicate the possibility of initially reopening one or two mills due to the logistical challenges involved in resuming all operations simultaneously. Over the past decade, sugar prices have risen significantly, while sugarcane prices have stagnated, leading farmers to shift to other crops and reducing sugarcane production. Consequently, the Awami League government decided to close the six mills in December 2020 due to financial losses and limited sugarcane supply.
The Ministry of Industries and BSFIC noted that, before reopening the closed mills, efforts are needed to boost sugarcane production, refurbish the mills, and install modern machinery, as many of the facilities have deteriorated and are currently unfit for production due to prolonged inactivity.