A major initiative has been undertaken in the state of Madhya Pradesh with the aim of reviving closed industrial facilities and creating new employment opportunities. The official process to restart the Kalaras sugar factory, which has been idle for many years in the Muraina district, has begun.
The State Department of Micro, Small, and Medium Enterprises (MSME) invited Expressions of Interest (EOI) regarding this matter. Commissioner of MSME, Dileep Kumar, stated that during the Cabinet meeting chaired by Mohan Yadav on August 19, 2025, a decision was made to transfer the land of the Kalaras sugar factory to the management of the MSME Department.
The factory is planned to be leased for a period of 30 years under 'as-is, where-is' conditions. Furthermore, this lease term can be extended provided satisfactory performance is demonstrated.
A complete schedule has been published for investors and companies interested in revitalizing the factory. Interested parties can submit written requests until September 7, 2026, by 17:00. The deadline for submitting letters of interest is set for September 15 by 17:00, after which offers will be opened on the following day, September 16, at 17:00.
Companies capable of producing sugar and related by-products can submit online applications through the MP Tenders portal at http://www.mptenders.gov.in. More detailed information is available on the website http://mpmsme.gov.in.
The Kalaras sugar factory is located in the Muraina district, on National Highway (NH-552), and is less than 3 km from the Kalaras railway station. This factory covers an area of 12.86 hectares and has a sugarcane processing capacity of 1250 metric tons per day. The factory assets include the factory building, production equipment, workshops, and large warehouses.
The resumption of the factory's operations will bring significant benefits to farmers, youth, and local traders in the region.
