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New Delhi, Oct 24 (IANS) Prime Minister Narendra Modi, while addressing an election rally in Begusarai on Friday, recalled the past glory of the region, which was once known as the “industrial capital of Bihar”.
After independence, Begusarai’s strategic location and access to the river established it as a major industrial centre, largely driven by public sector undertakings (PSUs).
It experienced significant industrial growth in the mid-20th century and developed into a major center for state-owned enterprises. However, this growth was followed by a long period of decline.
Starting from the late 1990s to the early 2000s, Begusarai, like many other industrial areas in Bihar, witnessed deindustrialization. Its prominence declined due to policy neglect, operational inefficiencies and lack of reinvestment, leading to the closure or downsizing of major enterprises.
The district was once the cornerstone of Bihar’s economy, with major projects in and around Barauni, including the Indian Oil Corporation Limited (IOCL) refinery, one of the most important industrial sites in the region.
The Barauni Refinery became an important energy source for various downstream industries ranging from plastics to pharmaceuticals. However, over time, it faced challenges arising from high capital costs of aging units, periodic shutdowns for maintenance and upgradation, and improvement projects.
Indian Oil is now undertaking a major modernization and capacity expansion program at the Barauni plant as part of a broader national initiative to strengthen energy infrastructure.
Similarly, the Hindustan Fertilizer Plant, which played a vital role in supporting Bihar’s agriculture-driven economy, struggled with declining capacity and financial non-viability and was eventually closed under the old public sector structure.
Recognizing the strategic importance of domestic fertilizer production and the need to reduce urea imports, the Central Government subsequently gave priority to the revival of such dormant units. This led to the establishment of the Hindustan Fertilizers and Chemicals Limited (HURL) fertilizer plant at Barauni, which was inaugurated and dedicated to the nation by the Prime Minister in March last year.
Another major enterprise, NTPC’s Barauni Thermal Power Station, has long served as the backbone of the industrial ecosystem of the district. Since the late 20th century, it has struggled with aging infrastructure and evolving market and environmental norms. Recent national efforts to promote cleaner, more efficient production have led to unit-wise rehabilitation, improved compliance and tighter operational management to ensure reliability.
A concerted effort by both the central and state governments – the so-called “double engine” approach – is now helping to revive Begusarai’s industrial landscape.
In August this year, Prime Minister Modi inaugurated Asia’s widest six-lane bridge over the Ganga, connecting north and south Bihar between Aunta in Munger district and Simaria in Begusarai, giving a major boost to logistics and connectivity.
Efforts to attract new investment and revive dormant industrial properties are gradually restoring the economic vitality of the district.
Private players are also contributing to this resurgence. Campa Cola has announced a major beverage manufacturing plant in Begusarai, which is expected to create new employment opportunities and boost the local industry.
Sudha Dairy also operates a major facility in Begusarai, which has emerged as one of the major milk processing and export centers of Bihar. Both the state and central governments are working together to provide a supportive ecosystem for investors and promote the establishment of new factories.
–IANS
JB/PGH