BL Agro to invests US$180.2M in integrated agro-processing hub in Uttar Pradesh 

INDIA – BL Agro, a leading Indian fast-moving consumer goods (FMCG) company, has signed a Memorandum of Understanding (MoU) with the Ministry of Food Processing Industries (MoFPI) to develop an export-oriented integrated agro-processing hub in Bareilly, Uttar Pradesh.  

The Rs 1,660 crore (US$180.2M) greenfield project will be implemented over the next five years, with construction expected to begin within six months. 

The new facility will feature a fully automated rice milling unit for premium basmati rice, a 500 tonnes-per-day edible oil extraction and refining plant under BL Agro’s flagship Bail Kolhu and Nourish brands, advanced packaging lines, sugar storage solutions, and a 40,000 metric tonne grain storage capacity. Phase I of the project is targeted for completion in 2027. 

According to BL Agro Group Managing Director Ashish Khandelwal, the partnership highlights the company’s long-term commitment to building world-class food processing infrastructure.  

He said the project would enhance food security, expand export potential, and establish sustainable value chains for farmers and rural communities. Khandelwal added that BL Agro plans to incorporate circular economy practices such as by-product utilization in cattle feed and renewable energy adoption. 

Preet Pal Singh and A.P. Das Joshi from MoFPI stated that the collaboration reflects the Government of India’s priority on drawing large-scale private investments into food processing and agri-value chains.  

They emphasized that promoting modern infrastructure and sustainable practices would enable stronger farmer linkages, boost exports, and reinforce India’s position in global agri-trade. 

MoFPI will provide facilitation support for statutory approvals to speed up project implementation, ensuring timely completion of the hub’s initial phase.  

The project is expected to create 3,500 direct and indirect jobs, strengthening rural livelihoods and contributing to inclusive growth in Uttar Pradesh’s agriculture-driven economy. 

This initiative follows BL Agro’s March 2025 investment of Rs 1,000 crore (US$112.7M) in BL Kamdhenu Farms, a state-of-the-art Centre of Excellence for Cow Breeding and Dairy Technology in Bareilly.  

The facility integrates advanced breeding technologies, a feed mill, and bio-methanation for compressed biogas production. Initially housing 5,000 indigenous cows, the project will scale up to 10,000, reinforcing BL Agro’s shift from farm foods to sustainable dairy farming. 

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