Karnataka Chief Minister Basavaraj Bommai on Monday said that the cabinet decision to lease out the Mysugar factory in Mandya district will be put on hold and an expert committee will be formed to revive the factory. This sets aside an earlier plan to privatise the factory in Mandya. The government would make all efforts to revive the factory in the interest of the farmers, Basavaraj Bomai told the media after a meeting with farmer leaders and elected representatives of Mandya district.
Experienced senior officers and experts will be appointed to Mysugar and steps would be taken for capacity-building. The expert team will give its recommendations to the government within three months and those would be discussed in a cabinet meeting. "We will take all necessary steps and see that the factory will begin functioning by the beginning of next season," Bommai said.
Officers have already been directed to provide the information about the financial support required to restart the factory and the working capital required. All options of manufacturing by-products such as ethanol, a distillery etc would be explored in consultation with experts to make it sustainable and further steps would be taken after discussing these outcomes in a cabinet meeting, he added.
He added that an expert committee will be constituted to study the machinery and the finances required to restart the operations at the factory. “To make it financially viable, experts will study the value addition of converting the byproduct — molasses — either to use it in distillery or convert it into ethanol,” Bommai said.
The Chief Minister added that a managing director with an industrial background will be appointed alongside an accountant appointed by taking help from the Accountants General, Karnataka.