RIL, Tata, IndianOil keen to run Bihar sugar mills
New Delhi   09-Dec-2007
Corporate giants Reliance Industries, United Spirits, Tata Chemicals and state-run IndianOil are among the 35 companies that have evinced preliminary interest in taking over sick sugar mills in Bihar. These companies today took part in a pre-bid meeting organised here by the state government for giving 15 closed sugar mills it owns on lease to public or private players. "The companies" which participated in the discussion wanted to know the details of the Bihar government's plan to lease out 15 closed sugar mills," the state's sugarcane minister, Mr Nitish Mishra said He said about 35 companies including Reliance, Bharti's Field Fresh, Tata Chemicals, United Spirits and public sector oil marketing companies Indian Oil, Hindustan Petroleum, and Bharat Petroleum participated in the discussion. The sugar majors who were present include Sri ' Renuka Sugars, Dhampur Sugar and Upper Ganges Sugar. A state government official said the interest of Oil Company’s in. running sugar mills stems from the fact that the Centre has made mandatory the blending of petrol with five per cent ethanol, a byproduct of sugar. The minister said the state has sold 82 applications for leasing out 15 closed sugar mills to the private sector as some of the companies have bought as many as 15 'request for qualification1 (RFQ) forms which was priced at Rs 10,000 each. The last 'date of RFQ sale was 30 November while" the bids would be closed on 20 December. Mr Mishra said the state government plans to complete the entire procedure, including signing of agreements, by 5 February next year.