UP govt to revive Mathura sugar mill, boost ethanol production in Gorakhpur

Lucknow: In a positive development for sugarcane farmers, the Yogi govt has launched a mission-mode programme to restart production at the Chhata mill in Mathura district and promote ethanol production through a newly established distillery in the Pipraich area of Gorakhpur.
Both projects have been initiated by state govt agencies and departments, inviting private participation to operationalise the Mathura unit, which had been shut down since 2009, according to a govt spokesperson. The upgraded infrastructure will increase the existing daily crushing capacity from 2,000 tonnes to 4,900 tonnes.
"This will be a major boost for sugarcane farmers in the region. The capacity will increase by 2.5 times, which will enhance sugarcane production and significantly improve farmers' incomes," said Satyaveer Singh from Kosi Kalan village.
Similarly, a 120 KPLD ethanol distillery will be set up at the Pipraich sugar mill in Gorakhpur with a budget of Rs 90 crore. Construction will begin once the implementing agency is finalised.
The Yogi govt has also prioritised timely payments to sugarcane farmers, disbursing a record Rs 2.80 lakh crore over the past eight years to the farmers. Previously, Rs 66.70 crore was paid to the cane farmers between 1995 and 2017 by the past govts, before Yogi Adityanath took over. For the 2025-26 financial year, Rs 475 crore has been approved for farmer payments.
Chief Minister Yogi Adityanath has repeatedly emphasised the crucial role of sugarcane farmers in the state's economy. Currently, sugarcane farming and related industries contribute Rs 1.09 lakh crore to Uttar Pradesh's Gross Value Added (GVA).