Cabinet approves Pandavapura Sugar Factory lease to Nirani Sugars

Cabinet approves Pandavapura Sugar Factory lease to Nirani Sugars

June 27, 2020

Bengaluru: The Karnataka Cabinet on Thursday approved the 40-year lease of Pandavapura Sugar Factory (PSSK-Pandavapura Sahakara Sakkare Karkhane) to Bagalkot district based Nirani Sugars, owned by Bilgi BJP MLA and former Minister Murugesh Nirani.

Announcing this after a Cabinet meeting, Law Minster J.C. Madhuswamy said that following an appeal by the sugar factory share holders, the Government had floated global tenders for running the factory. All the tenders received within the set deadline were opened on June 5, when Nirani Sugars, which was found to be the highest bidder with Rs. 405 crore, was awarded the contract for running the Sugar Mill on Lease, Rehabilitate, Operate and Transfer basis for a 40 -year period, he said. From now on, everything rests with Nirani Sugar Company on running the Pandavapura Sugar Mill, he added.

Nirani meets CM and Sugar Minister

 Soon after the Cabinet approved the 40-year lease of PSSK to Nirani Sugar Company, the Company Chairman Murugesh Nirani met Chief Minister B.S. Yediyurappa at the latter’s ‘Cauvery’ residence in Bengaluru and expressed his gratitude.  Later, Nirani met Sugar and Labour Minister Shivaram Hebbar. Thereafter, he visited Adichunchanagiri Mutt at Chikkaballapur and sought the blessings of Nirmalanandanatha Swamiji.

Meanwhile, at Pandavapura in Mandya District, several farmer leaders and sugarcane growers have welcomed the handing over of PSSK Sugar Mill to Nirani Sugars. The Factory workers and office-bearers of the Labour Union too have welcomed the decision, it is learnt.


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