Auro Sundram International Pvt Ltd is set to make a major investment of ₹250 crore to establish a state-of-the-art starch manufacturing facility in the Araria district of Bihar. This initiative highlights the company’s commitment to leveraging the region’s agricultural potential while contributing to the state’s industrial growth.
Key Highlights of the Investment
Plant Details and Timeline
- Location: Forbesganj, Araria district, Bihar.
- Annual Capacity: 500 tonnes per day.
- Operational Timeline: Targeted to be fully operational by March 2027.
Investment Strategy
- Total Investment: ₹250 crore for the starch plant.
- Funding Sources: Combination of equity and debt financing.
Expanding Operations in Bihar
Auro Sundram International already operates a maize processing plant in Forbesganj, established with an investment of ₹100 crore and operational since last year.
- Current Production: Supplies maize grits to FMCG companies and floating fish feeds to fish farmers.
- Future Production: The upcoming starch manufacturing plant will cater to diverse industries, including pharmaceuticals.
Leveraging Bihar’s Agricultural Strength
Director Ashok Kumar Choudhary emphasized that maize is a key crop in North Bihar, producing approximately 50 lakh tonnes annually.
- Opportunities: The abundant maize production presents lucrative prospects for the food processing industry.
- Economic Boost: The plant will tap into the local agricultural ecosystem, driving economic development in the region.
Support from the Bihar Government
The Bihar government is actively promoting industrial growth through fiscal incentives and infrastructure support.
- Investment Summit Impact:
- The second edition of the Bihar Business Connect Summit attracted investment proposals totaling ₹1.81 lakh crore, surpassing last year’s ₹50,300 crore.
- Sector Focus: Renewable energy (₹90,734 crore), general manufacturing (₹55,888 crore), and food processing (₹13,663 crore).
- Collaborations: 423 companies committed to various projects across the state.
Revenue Targets and Future Prospects
- Annual Revenue Goal: Auro Sundram International is aiming for ₹125 crore revenue in the current fiscal year.
- Long-Term Vision: The starch plant is expected to significantly boost the company’s production capacity and market reach.
Driving Economic Growth in Bihar
This project aligns with Bihar’s broader vision to become a hub for industrial and agricultural innovation. With initiatives like the starch plant, Auro Sundram International is poised to play a pivotal role in transforming the state’s food processing sector.
FAQs
What is the timeline for the starch manufacturing plant?
The plant is expected to be operational by March 2027.
What industries will the starch plant cater to?
It will supply starch to industries such as pharmaceuticals and other related sectors.
How is the investment being funded?
The ₹250 crore investment will be financed through equity and debt.
What support is the Bihar government providing?
The Bihar government offers fiscal incentives and infrastructure support to encourage industrial investments.
What is Auro Sundram International’s current revenue target?
The company is targeting an annual revenue of ₹125 crore for the current fiscal year.