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Bihar Cabinet Clears Industrial Reforms, NIFTEM Campus And Rs 97 Crore Dairy Project

The state government has approved a series of measures aimed at boosting industrial investment, strengthening MSMEs and expanding food processing and skill development infrastructure in Bihar.

Staff Reporter by Staff Reporter
May 13, 2026
in Bihar, Industries
Reading Time: 2 mins read
Bihar Cabinet Clears Industrial Reforms, NIFTEM Campus And Rs 97 Crore Dairy Project

Bihar Industries Secretary Kundan Kumar

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Patna: Government of Bihar has approved four major proposals aimed at accelerating industrial development, attracting investment and strengthening Bihar’s manufacturing and food processing sectors.

The decisions were cleared during a cabinet meeting held on Wednesday and are expected to support industrial growth, employment generation and skill development across the state.

100 Acres Approved For NIFTEM Campus In Vaishali

The cabinet granted in-principle approval for the transfer of 100 acres of land free of cost to the Government of India for the establishment of the National Institute of Food Technology Entrepreneurship and Management (NIFTEM) in Vaishali district.

Officials said the proposed land forms part of a larger 1,243.45-acre industrial area expansion project.

The final decision on land selection will be taken by the board of directors of the Bihar Industrial Area Development Authority (BIADA).

Authorities said the proposed institute would:

  • provide technical education and skill training to local youth
  • strengthen Bihar’s food processing ecosystem
  • support entrepreneurship and industrial growth in the sector

Industrial Investment Policy Extended Till June 2026

Following a review of incentives under the Bihar Industrial Investment Promotion Policy 2025 (BIIPP), the cabinet approved an extension of the policy till June 30, 2026.

The government also approved amendments to both:

  • BIIPP 2025
  • BIIPP 2016

Under the revised framework:

  • milestone-based project implementation provisions have been introduced
  • the threshold for classification of mega units has been increased from Rs 200 crore to Rs 500 crore

The cabinet also approved changes to the land allotment framework, allowing BIADA to allot industrial land at concessional rates for periods of:

  • 30 years
  • 60 years
  • 90 years

Officials said the reforms were aimed at providing long-term stability and greater confidence to investors.

MSME Cluster Scheme Expanded

The cabinet also approved amendments to the:
Chief Minister Micro and Small Industries Cluster Development Scheme

The scheme will now be renamed:
Chief Minister Micro, Small and Medium Enterprises Cluster Development Scheme

According to officials:

  • the state-level committee under the scheme has been made more inclusive and empowered
  • BIADA has been designated as the Special Purpose Vehicle (SPV) for establishing Common Facility Centres in industrial areas

Authorities said the initiative was expected to:

  • improve productivity and quality standards
  • strengthen Bihar’s MSME competitiveness
  • support industrial infrastructure development

Rs 97 Crore Dairy Unit Approved In Bihta

The cabinet also approved a private investment proposal worth Rs 97.17 crore by Namaste India Foods Private Limited for setting up a dairy production unit in the Sikandarpur-Bihta cluster in Patna district.

The proposed unit will manufacture:

  • full cream milk
  • toned milk
  • curd
  • buttermilk
  • butter

Officials said the project was expected to:

  • strengthen Bihar’s dairy processing capacity
  • generate direct employment for around 170 skilled and unskilled workers

Government Says Reforms Will Boost Investment

Kundan Kumar, who serves as secretary (industries) and managing director of BIADA, said the approved proposals would provide fresh momentum to industrial investment, MSME development and food processing in Bihar.

He said projects such as NIFTEM and the new dairy unit would help create:

  • employment opportunities
  • skill development avenues
  • a more attractive investment ecosystem for industries in Bihar

Officials said the cabinet decisions were expected to significantly strengthen industrial growth and investment promotion across the state.

Tags: BiharBihar IndustriesBihar NewsCabinet Decisions

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