Bangladesh: North Bengal sugar mill closes operations due to cane shortage
North Bengal Sugar Mills in Lalpur, Natore ended its 2025–26 crushing season two weeks early due to cane shortages. Lower cultivation and farmer crop shifts reduced output to 9,600 tons, below target, highlighting supply challenges and potential financial losses for the mill.
North Bengal Sugar Mills in Lalpur, Natore, shut down its 2025–26 crushing season on Tuesday, two weeks ahead of schedule, after falling short of the required sugarcane supply, The Daily Star reported.
Officials said the factory had no option but to suspend operations after failing to secure the required supply. Md Ashab Uddin, general manager (agriculture), said the mill could not collect enough cane to continue operations.
Mill sources said the factory had aimed to procure 200,000 tonnes of sugarcane from 18,000 acres and operate for 122 days, from November 10, 2025, to March 12, 2026. The production target for the season was set at 13,000 tonnes of sugar.
Instead, the mill collected around 172,000 tonnes of sugarcane and produced about 9,600 tonnes of sugar. In the previous 2024–25 season, it had crushed 195,981 tonnes of sugarcane, indicating a drop of nearly 24,000 tonnes this year.
Authorities attributed the shortfall to lower-than-expected cultivation and supply shortages, as a significant amount of sugarcane was diverted to other mills and molasses producers.
Ashab Uddin said cultivation did not meet expectations despite incentives offered to farmers to grow sugarcane.
During the season, about 15,000 farmers received payments through mobile banking, with Tk 15 crore disbursed in total. To encourage growers, the cane price was increased by Tk 25 per maund, raising it from Tk 600 to Tk 625.
Even so, many farmers chose to switch to other crops they believe offer better returns. The reduced supply affected the mill’s performance and prevented it from reaching its production target.
Officials cautioned that failing to meet the target is likely to result in considerable financial losses for the mill this season.
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Source : Chinimandi
