Uttar Pradesh Cabinet clears ethanol plant in Mathura, farmer loans, and other key proposals - ChiniMandi

Twenty three proposals including the establishment of an ethanol plant at a closed sugar mill in Mathura, concessional loans for small and marginal farmers, a new policy to promote toy manufacturing and changes in stamp duty aimed at facilitating the renting of houses and shops among others were approved by the Uttar Pradesh Cabinet on Tuesday, reported Business Standard.

The Cabinet, chaired by Chief Minister Yogi Adityanath, also approved proposals related to transport infrastructure, vehicle testing centres, education, road development and reservations for former Agniveers.

Ethanol plant planned at closed Mathura sugar mill

The cabinet also approved the proposal to restart the sugar mill in Chhata tehsil of Mathura district, which has remained closed for 19 years, Business Standard reported quoting Sugarcane Minister Chaudhary Lakshmi Narayan.

However, given the current availability of sugarcane in the area, the government has decided to initially establish an ethanol plant at the site. The plant is expected to produce 3.96 crore litres of ethanol annually using sugarcane and paddy as feedstock.

The project, estimated to cost Rs 200 crore, will operate for around 11 months a year, according to the minister. Sugar production will be taken up at the mill once adequate sugarcane becomes available.

Lakshmi Narayan said a sugar mill requires around 50 lakh tonnes of sugarcane annually for smooth operations, while the required quantity is currently not available in the region.

The sugar mill has around 96 acres of land, where warehouses and a complex will also be developed as part of the project.

Separately, IndiaTV reported, citing Lakshmi Narayan, that Chief Minister Yogi Adityanath is expected to lay the foundation stone for the ethanol plant later this year.

Lakshmi Narayan said a sugar mill requires around 45-50 lakh quintals of sugarcane to operate. Given the current availability of cane, the government plans to produce ethanol from sugarcane initially, with corn and rice to be used as alternative feedstocks once cane supplies are exhausted, he added.

Concessional loans for small and marginal farmers

The cabinet also approved the long-term loans under the Mukhyamantri Krishak Samriddhi Yojana at concessional interest rates for small and marginal farmers.

Loans of up to Rs 6 lakh will be made available through Uttar Pradesh Sahkari Gram Vikas Bank Ltd at an annual interest rate of 6%.

Transport infrastructure and vehicle testing centres

The Cabinet approved the construction of bus stands at Shohratgarh and Barhni in Siddharthnagar district and Sawayajpur in Hardoi district. Land for the projects will be provided by the revenue department.

It also approved amendments to the rules governing automatic testing centres (ATCs) for vehicles.

Under the existing rules, an ATC requires a minimum of 2.5 acres of land, which the government said had created difficulties in establishing such facilities. Of the 82 ATCs for which letters of approval had been issued, construction had begun at only 42 centres.

Under the amended rules, a single-line ATC will require 1,500 square metres of land, while a two-line facility will require 3,000 square metres.

Applications for setting up ATCs will now be accepted throughout the year. A maximum of three ATCs can be established in a district.

Toy manufacturing policy approved

The Cabinet also approved the Uttar Pradesh Toy Manufacturing Promotion Policy, 2025, aimed at encouraging investment in toy manufacturing, expanding the state’s manufacturing base and generating employment opportunities.

Chitrakoot Link Expressway project

The Cabinet has also cleared a revised project proposal for the Chitrakoot Link Expressway.

The 15.172-km road will be an access-controlled, six-lane greenfield expressway and will be developed on an engineering, procurement and construction (EPC) basis.

The project has an estimated cost of Rs 1,008.67 crore, which will be entirely funded by the Uttar Pradesh government. A global tender will be floated to select the construction agency.

Reservation for former Agniveers

The Cabinet also approved 20% reservation for former Agniveers in direct recruitment to the post of jail warden in Uttar Pradesh.

In addition, former Agniveers will receive 20% horizontal reservation and age relaxation in direct recruitment for enforcement constable posts in the state’s transport department.

Other decisions

Other proposals cleared by the Cabinet included the establishment of a regional centre of the National Security Guard (NSG) in Milkipur, Ayodhya, setting up a new university in Aligarh and developing primary schools under the Basic Education Council as smart schools.

The Cabinet also approved a reduction in stamp duty intended to make rental transactions for houses and shops easier.

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