Patna: The state government has already taken up the issue with the Centre, and Chief Minister Nitish Kumar, who is scheduled to visit Delhi, will also raise the matter during his meetings, Industries Minister Dilip Jaiswal said in the state assembly on Monday, ETV Bharat reported.
The minister was responding to questions raised by opposition parties over the issue of ethanol procurement from plants operating in Bihar. Opposition leaders expressed concern that inadequate purchases could force several units to shut down.
The issue was raised by Shyam Rajak, a legislator from the ruling Janata Dal (United). Rajak said ethanol plants in Bihar face the risk of closure due to poor procurement, even as other states are seeing higher purchases. He pointed out that Bihar’s ethanol quota has been cut by half.
Rajak said the Chief Minister had personally visited the ethanol plant in Buxar, yet the problem continues. He warned that the plant could shut down, leading to job losses for workers, and urged the government to take timely steps to prevent this.
Replying to the concerns, Minister Jaiswal said the agreement required the procurement of 1,060 kilolitres of ethanol per day, while actual production had risen to over 1,602 kilolitres. He said procurement is mandatory only up to the agreed quantity, but added that the state has written to the Centre seeking relief. He maintained that the government is serious about resolving the issue.
However, Rajak said he was not satisfied with the response and accused the government of lacking seriousness. Jaiswal countered this by saying a formal request has been made to the Union government and efforts are under way to increase the quota.
Several other legislators also joined the discussion. BJP MLA Rajneesh Kumar said maize farmers in the state are in distress due to reduced ethanol procurement. From the opposition, RJD MLA Kumar Sarvjeet said plant owners are facing financial trouble, banks have issued notices, and investors may hesitate to set up new units. He questioned why factories were encouraged and farmers urged to grow maize if ethanol purchases were uncertain.
Another BJP legislator, Jivesh Kumar, asked whether the government was considering alternative markets for surplus ethanol.
In his reply, Jaiswal said Bihar’s approved quota stood at Rs 35.28 crore, while production had crossed Rs 50 crore. He dismissed reports circulating on social media about permanent plant closures as misleading, stating that factories had remained shut for a total of only seven days. He added that the state government has provided subsidies worth Rs 1,700 crore to promote ethanol-based industries and said the January production report is still awaited.
Jaiswal reiterated that the Chief Minister’s upcoming Delhi visit would include discussions on the issue, stressing that the government wants the plants to remain operational and financially viable.
