Panchagarh Sugar Mills, the only state-owned heavy industrial establishment in the border district, has remained shut for nearly six years with workers and farmers saying repeated inspections and promises have failed to bring any visible progress towards reopening the facility.
Once a major driver of the local economy, the mill used to support thousands of workers, transport staff and sugarcane farmers across the district. Residents said the mill siren once marked the start of the day in Panchagarh, with cane-laden trucks crowding the roads and workers remaining busy throughout the crushing season.
The closure has left many workers unemployed and forced farmers to move away from sugarcane cultivation. Some former workers have taken up jobs such as driving vans and autorickshaws or running small shops, but many said they are struggling to survive.
Farmers now have to transport their sugarcane to neighbouring Thakurgaon Sugar Mill, increasing transport costs and reducing profits due to delays and weight loss after harvesting. Many have shifted to maize, paddy and other crops but said returns remain uncertain.
Workers and locals alleged that although ministers, advisers and senior officials visited the mill several times over the past six years, no effective initiative has been taken to restart operations. Industries minister Khandakar Abdul Muqtadir visited the mill on Saturday and again assured farmers that the government was working to reopen the closed sugar mills.
According to mill authorities, the factory was established between 1966 and 1969 with a daily crushing capacity of 1,016 tonnes and began commercial operations in the 1969-70 season. The Awami League government shut the mill in 2020 citing financial losses. Since then, machinery, vehicles and manpower have gradually been transferred to other mills, including Thakurgaon Sugar Mill.
The mill still has 223 acres of land, five sub-zones and 31 centres, though only eight centres are currently active. Authorities said sugarcane has been cultivated on around 990 acres this season and production may reach 18,000 to 20,000 tonnes next year. Despite having a workforce requirement of nearly 1,200 employees, only around 70 staff members remain.
Former Panchagarh Sugar Mills Workers’ Union General Secretary Abdur Rahim said workers had continued their movement demanding the reopening of the mill since its closure in 2020.
“We no longer want assurances. We want implementation,” he said.
Panchagarh Sugar Mills Managing Director Md Atikuzzaman said cane cultivated under the active centres would be supplied to Thakurgaon Sugar Mill during the next season. He added that around 16,000 tonnes of sugarcane were produced in the 2025-26 fiscal year.
Industries minister Khandakar Abdul Muqtadir said the government was committed to reopening the closed state-owned sugar mills, but decisions would be taken considering the long-term sustainability of farmers, workers and the factories themselves.



