Question

Your cousin who lives in Lakhimpur Kheri in Uttar Pradesh wants to start a sugar mill. He wants you to advice him on the feasibility of starting a sugar mill in the area, based on the location, availability of resources, transport and market for selling the manufactured products. What would you suggest to your cousin?

Answer 1

Yes, a sugar mill in Lakhimpur Kheri can be feasible, provided certain conditions are met.

• Raw material: Locate the mill inside or very near the local sugarcane belt, sugarcane must be crushed quickly (sucrose falls rapidly; crushing within 24 hours is critical). This makes Lakhimpur Kheri (Gangetic plain) a suitable location if reliable cane supply exists.
• Transport & timing: Good road/rail links are essential to bring cane to the mill fast and move finished sugar/by‑products to market; plan for immediate on‑farm collection or short haul routes.
• Water, power & inputs: Ensure steady water and power (or invest in cogeneration from bagasse). Availability of labour locally is an advantage in UP.
• Market & by‑products: UP is a large sugar‑mill state with local demand; also plan to use by‑products (bagasse for power/paper, molasses for alcohol) to improve margins.