Once-flourishing Shyampur Sugar Mills left non-functional for five yrs

Once-thriving Shyampur Sugar Mills Limited, the lone agro-based heavy industry in Shyampur area of Badarganj upazila under Rangpur district, has remained closed for around five years, leaving several thousand sugarcane growers as well as workers to pass days in hardship.

Similarly, the closure of the sugar mill is also severely hindering the economic progress of the northern district.

At present, the abandoned factory is bearing the testimony to its splendid bygone years. Despite the announcement of its re-launch by the interim government around nine months ago, the mill is still non-functional. The task force's plans were delayed owing to lack of required funding, leaving workers and farmers disheartened.

According to sources, once around 20,000 farmers of Badarganj and its neighbouring areas under this mill were optimistic for dreaming a better fortune by cultivating the cash crop sugarcane.

But presently, due to lack of sugarcane crushing operations, the growers are passing their days in sheer uncertainty.

Besides, nearly 5000 workers of Rangpur, Badarganj and Taraganj upazila who used to work in the mill have been passing days in acute distress on account of the prolonged closure of the sugar mill.

Farmers and workers claimed if the sugar mill is reopened quickly, it would lead to economic development across the region, create employment, and increase trade and commerce.

Meanwhile, some employees requesting anonymity told the FE that they were living subhuman live without receiving salaries and allowances regularly.

In addition, due to the long closure, the machinery is being damaged and the sugar mill is turning into a dense shrub.

According to farmers and sugar mill official sources, the sugar mill was established on about 111.45 acres of land at Shyampur in Badarganj upazila of Rangpur in 1964.

It started producing sugar around 1967. The capacity of crushing sugarcane was 1,160 tonnes per day. The annual sugar production capacity was 10,161 tonnes. As of 2020, there were 744 permanent and temporary officials and employees here. Presently, there are only 64 officials and employees in the mill.

Visiting the mill area, the FE correspondent found a somber as well as melancholic atmosphere prevailing in the area due to lack of presence of adequate number of officials and employees as well as their activities. The sugarcane transport tractors and trolleys parked in front of the mill are covered in thick bushes. Some officials and employees of the mill were found passing their time idly.

The machinery inside got rusted. Valuable parts of the machinery are lying uncared for hither and thither. The mill area has become a jungle with a horrifying and quiet environment.

Sources said the mill authority was compelled to stop its sugarcane crushing operations in December 2020 because of incurring colossal losses of around Tk2.26 billion (Tk226crore). Cultivation of the cash crop has declined drastically since then.

Suruj Mia, a grower of Shyampur area, told The Financial that he used to cultivate sugarcane on two bighas of land, but now he does not cultivate it on even one decimal.

He said, "Sugarcane cultivation is our main source of earning. Earlier, we used to get a big sum of money by cultivating sugarcane at the end of the year. But now we are not getting it anymore. We are suffering a lot owing to these adverse circumstances. Many of the growers are now cultivating other crops instead of sugarcane which is not as profitable as sugarcane farming." "If the sugar mill is reopened, the common people of the area would certainly be financially benefited. Moreover, we will get a better life, "he added.

Meanwhile, a good number of sugarcane cultivators and workers told The Financial Express that they had organised various protests and rallies to get the mill up and running.

Their heartfelt request to the honourable Chief Adviser of the current interim government is that he would take necessary steps to re-launch the mill and thus emancipate the people of this region from economic hardship. The opening of the mill would significantly change the socio-economic condition of the poverty-stricken people of the area, they think.

According to Shyampur Sugar Mill official sources, in December 2024, in accordance with the recommendations and opinions of the task force, and on the basis of the availability of sufficient sugarcane, the interim government took initiative to resume threshing operations at Shyampur Sugar Mill in order to run it profitably.

In order to start the mill, an estimated account of the potential costs related to sugarcane cultivation development and planting in the fiscal year 2024-25 and the potential costs for the fiscal years 2025-26 and 2026-27 had been calculated.

In view of this, the government sent a letter to the finance division of the Ministry of Finance through the Ministry of Industries on February 10 of the current year, seeking to sanction and release Tk 5.37 billion (Tk 5.37 crore) for the fiscal year 2024-25. However, the finance division disagreed to allocate the funds, sources further said.

Talking to the Financial Express, assistant manager of Shyampur Sugar Mills Debashis Singha said if they get allocation of the required fund from the ministry concerned, they would instruct the growers to cultivate sugarcane. The mill authority would bear all the production costs of sugarcane farming. The mill authority would also provide the growers with necessary inputs including seed, fertilisers and pesticides to get optimum yield of sugarcane.

For starting the mill's crushing operation, sugarcane should be cultivated on at least five acres of land. It would take nearly two years to harvest required sugarcane. After two years, the full- fledged operation of the mill would resume, he also said. The cultivators would have to repay the production cost to the mill authority with the harvested sugarcane, he said. The machinery requires repairs as well to re-launch operations, he added.

When contacted, Managing Director (MD) of Shyampur Sugar Mills Md Mosharaf Hossain told The Financial Express, "

Shyampur Sugar Mill was supposed to be made operational in the first phase. But the finance ministry did not release the required fund. That is why they could not start the mill's operation.

If the money is released, they would take necessary preparation to resume the mill's functioning, he added.

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