Nestled in the fertile lands of Shahabad Markanda, Kurukshetra, the Shahabad Cooperative Sugar Mill is a key player in India’s sugar industry. Established in 1984, this mill has grown from a modest setup to a vital economic hub for local farmers and workers. Known for its high-quality sugar production and innovative practices, like ethanol manufacturing, it supports the community while adapting to modern demands. This guide explores the mill’s history, operations, economic impact, and more, giving you a clear picture of why Shahabad Sugar Mill matters in Haryana.
History of Shahabad Sugar Mill
The Shahabad Cooperative Sugar Mill began in 1984 with a crushing capacity of 2,500 tonnes of cane per day (TCD). Located in Kurukshetra, it was built to support sugarcane farmers in the region, providing them a reliable market for their crops. Over the years, it expanded to handle 5,000 TCD, reflecting its growth and importance. In 2021, the mill added a 60 KLPD ethanol plant, inaugurated by Haryana’s Chief Minister, to boost its finances and promote green fuel. This move followed a 2016 announcement under the Swaran Jayanti Scheme. With a focus on sustainability and timely farmer payments, the mill has earned 29 national and four state awards for efficiency and management, making it a respected name in India’s sugar industry.
How the Mill Operates
The Shahabad Sugar Mill turns raw sugarcane into refined sugar through a detailed process. Farmers deliver sugarcane, which is crushed to extract juice containing sucrose. This juice is clarified to remove impurities, then heated to create a concentrated syrup. Through crystallization, the syrup forms sugar crystals, which are dried and packed for sale. The mill processes around 80 lakh quintals of sugarcane each season, producing about 8.34 lakh quintals of sugar, as seen in 2020-21. It also generates electricity from bagasse (cane waste) with a 24 MW co-generation plant and produces ethanol from molasses, sold to oil companies. These by-products strengthen the mill’s finances and support eco-friendly practices, ensuring it runs smoothly while helping farmers and the environment.
Economic Impact on the Community
The Shahabad Sugar Mill is a lifeline for Kurukshetra’s economy. It buys sugarcane from thousands of local farmers, ensuring they have steady income. For example, in the 2020-21 season, it crushed 76.81 lakh quintals of cane, directly benefiting growers. The mill employs hundreds in roles like production, logistics, and management, supporting local families. Its ethanol plant, set up in 2021 for ₹99 crore, creates jobs and boosts revenue, helping pay farmers on time. The mill’s co-generation plant generates ₹22 crore worth of electricity yearly, adding to its financial stability. By providing a reliable market and jobs, the mill strengthens Shahabad’s agricultural community, making it a cornerstone of the region’s economic growth.
Sustainability and Innovation
The Shahabad Sugar Mill stands out for its eco-friendly efforts. Its 60 KLPD ethanol plant, launched in 2021, turns molasses into green fuel, reducing reliance on fossil fuels and supporting India’s clean energy goals. The mill’s 24 MW co-generation plant uses bagasse to produce electricity, cutting waste and earning extra income. Water conservation and waste recycling further reduce its environmental impact. For instance, by reusing materials, the mill minimizes landfill waste. These practices not only help the environment but also improve the mill’s finances, ensuring timely payments to farmers. By adopting modern technology and sustainable methods, Shahabad Sugar Mill sets an example for other mills in India, balancing profit with responsibility.
Challenges Faced by the Mill
Despite its success, the Shahabad Sugar Mill faces challenges. Sugarcane prices fluctuate due to market conditions, affecting revenue. Weather issues, like droughts or floods, can reduce crop yields, as sugarcane is sensitive to climate changes. For example, poor rainfall in Haryana can lower production, impacting farmers and the mill. Government policies on sugar exports or ethanol pricing also create uncertainty. Legal disputes, such as those seen in court cases from 2014 to 2018, have involved issues like financial management or supplier payments, adding operational hurdles. The mill must keep upgrading technology to stay competitive, which can be costly. Overcoming these challenges requires careful planning and support from farmers and policymakers.
Why Shahabad Sugar Mill Matters
The Shahabad Sugar Mill is more than a factory—it’s a symbol of community strength and progress. It supports thousands of farmers by buying their sugarcane, ensuring they earn a living. Its awards for efficiency and financial management, including 29 national honors, show its commitment to excellence. The mill’s ethanol and power generation efforts create jobs and promote green energy, aligning with India’s sustainability goals. For example, its electricity sales add ₹22 crore annually, stabilizing finances. By paying farmers on time and investing in modern technology, the mill builds trust and drives growth in Kurukshetra. Its role in Haryana’s sugar industry makes it a vital player, supporting both the local economy and national agricultural goals.
Final Thoughts
The Shahabad Cooperative Sugar Mill is a cornerstone of Kurukshetra’s economy, blending tradition with innovation. Since 1984, it has grown from a small facility to a major producer of sugar, ethanol, and electricity, supporting farmers and workers in Shahabad Markanda. Its sustainable practices, like waste recycling and green fuel production, show a commitment to the environment and financial stability. Despite challenges like price fluctuations and weather risks, the mill’s awards and community focus make it a standout. For anyone interested in India’s sugar industry, Shahabad Sugar Mill is a shining example of how local efforts can drive economic and environmental progress in 2025.