H P Agrawal Group is all set to establish Sugar Industry worth an investment of Rs 1 billion with the capacity to produce 25 tons of sugar per day in Morang. Manish Agrawal, Managing Director of ‘Padma Sugar and Allied Industries’ informed that the industry will come into operation within two years. The company has purchased the land area of 35 bighas in Darwesa DVC of Morang to set up the sugar industry.

“The company has received permission letter from the government in order to establish sugar industry,” shared Agrawal. The demand of sugar has been increasing by 10 per cent annually in Nepal. Agrawal accounted this reason as a motivation to set up the industry.

The industrial source revealed that the raw material required for sugar production is available within the industrial site. “The farmers are attracted towards sugarcane farming as they tend to get good return from it,” said Agrawal. Therefore, there will not be a shortage of raw material for production, as there is adequate supply from local sources, he added.

Agrawal informed that the industry would produce five million tons of ethanol annually from the residues of sugar. The company will provide employment opportunities to about 550 people. The annual demand of sugar in Nepal is 180,000 ton. However, only 130,000 ton sugar supply has been taking place. HP Agrawal Group entered the sugar industry about five years ago with Lumbini Sugar Industry. The company has its investment in oil, wheat flour, refined oil, soap, vegetable oil, jJute etc.