IndianAgri
agribusinessIA · 2026-08-14

ISMA and ICAR-ISRI Sign MoU to Build ₹80 Crore Sugarcane Seed Centre in Lucknow

The Indian Sugar & Bio-Energy Manufacturers Association and ICAR's sugarcane research institute have joined hands to establish an advanced seed production hub in Lucknow, targeting higher cane yields, better sugar recovery, and disease-free

IndianAgri Desk3 min read
₹80 crore
Estimated investment in the new seed centre
50:50
Cost-sharing ratio between ISMA and ICAR-ISRI
1
Dedicated hub to serve UP and subtropical sugar mills

The short answer

ISMA and ICAR–Indian Sugarcane Research Institute (ICAR-ISRI), Lucknow, have signed an MoU to set up an Advanced Centre for quality sugarcane seed production, backed by an estimated ₹80 crore investment shared equally between the two parties. The centre will produce disease-free, genetically pure, and high-yielding planting material for sugar mills in Uttar Pradesh and the subtropical region. It will also introduce digital traceability of seed lots and provide training for cane development personnel, ensuring scientific research translates into direct farm-level gains.

The partnership

ISMA and ICAR-ISRI Formalise Seed Centre MoU

The Indian Sugar & Bio-Energy Manufacturers Association (ISMA) on 13 August 2026 signed a memorandum of understanding with ICAR–Indian Sugarcane Research Institute (ICAR-ISRI), Lucknow, to establish an Advanced Centre for quality sugarcane seed production. The facility will be located on ISRI's Lucknow campus and will serve sugar mills operating in Uttar Pradesh and the wider subtropical cane-growing belt.

The initiative carries an estimated price tag of ₹80 crore, to be shared equally between the two partners. ICAR's contribution will be in the form of institutional services and scientific expertise, while ISMA will fund the physical infrastructure. The arrangement reflects a growing trend of structured public-private collaboration in Indian agricultural research, moving beyond grant-based models toward co-investment frameworks.

What it does

A Science-Based Hub for Disease-Free, High-Yielding Planting Material

At its core, the proposed centre is designed to fix a persistent weak link in India's sugarcane value chain: the availability of certified, disease-free planting material at scale. Key functions will include:

  • Accelerated multiplication of elite, newly released, and promising sugarcane varieties through protected and scientifically managed cultivation systems.
  • Systematic replacement of pest- and insect-prone varieties across participating sugar mill command areas to lift both cane productivity and sugar recovery.
  • Certification and quality monitoring, with genetic purity of planting material maintained through systematic tagging.
  • Digital traceability of seed lots via QR codes linked to the Agriculture Ministry's Seed Net portal, allowing any stakeholder in the supply chain to verify variety details at any point.

The centre will also deliver training for cane development personnel and conduct field performance assessments, helping ensure that laboratory-level advances reach working farmers.

Quality planting material is the starting point for higher productivity, better sugar recovery and stronger farm incomes. This partnership with ICAR–ISRI is aimed at translating scientific research into tangible benefits on the ground.
Deepak Ballani, Director General, ISMA

The India read

Mill-Led Distribution to Bridge the Last-Mile Gap

One of the more operationally significant aspects of the initiative is its plan to route improved planting material to farmers through participating sugar mills rather than through conventional seed retail channels. Mills have existing command-area relationships with growers and the logistical infrastructure to manage large-scale distribution — making them a natural conduit for variety adoption at speed.

ISMA acknowledged support from Agriculture Minister Shivraj Singh Chouhan, ICAR Director General Mangi Lal Jat, Deputy Director General (crop science) D K Yadav, ISRI Director S N Sushil, and Joint Secretary (sugar) in the food ministry Ashwini Srivastava, signalling broad institutional backing for the project across multiple ministries.

Industry voice

ISMA Frames Initiative Around Farm Income, Not Just Yield

ISMA Director General Deepak Ballani positioned the centre explicitly around farmer welfare rather than industry efficiency alone. He underlined that quality planting material is "the starting point for higher productivity, better sugar recovery and stronger farm incomes," and that the partnership is aimed at translating ICAR-ISRI's research into tangible, ground-level benefits by enabling faster and wider access to superior varieties through the mill network.

The statement from ISMA described the initiative as farmer-centric, with the broader ambition of building a more sustainable sugarcane ecosystem across the subtropical region — a goal that aligns with long-standing government pressure on the sugar sector to modernise agronomy practices and reduce dependence on older, lower-yielding cane varieties.

Why it matters

Uttar Pradesh is the backbone of India's sugarcane economy, yet pest-prone varieties and poor-quality planting material continue to drag down productivity and sugar recovery rates. A dedicated, science-backed seed multiplication hub — linked to participating sugar mills and supported by digital seed traceability through the Agriculture Ministry's Seed Net portal — could meaningfully accelerate variety replacement at scale. Policymakers, mill operators, and traders should watch how quickly the centre operationalises annual production targets and whether the 50:50 funding model becomes a template for similar public-private agri-research partnerships elsewhere.

Frequently asked

What is the purpose of the ISMA–ICAR-ISRI MoU signed in August 2026?
The MoU establishes an Advanced Centre for quality sugarcane seed production on the ICAR-ISRI campus in Lucknow. It aims to multiply and distribute disease-free, genetically pure, and high-yielding sugarcane planting material to sugar mills and farmers in Uttar Pradesh and the subtropical region, replacing pest-prone varieties and improving cane productivity and sugar recovery.
How will the ₹80 crore investment be split between ISMA and ICAR-ISRI?
The estimated ₹80 crore cost will be shared on a 50:50 basis. ICAR-ISRI's contribution will be in the form of its institutional services and scientific expertise, while ISMA will invest its own funds to build the physical infrastructure at the Lucknow campus.
How will farmers access the improved sugarcane varieties produced at the centre?
The centre plans to distribute improved planting material through participating sugar mills, which have established command-area relationships with farmers and the logistics to handle large-scale seed supply. The programme also includes training for cane development personnel and field performance assessments.
What role does digital traceability play in this initiative?
The centre will implement systematic tagging and digital traceability of seed lots. Using QR codes linked to the Agriculture Ministry's Seed Net portal, any stakeholder in the supply chain can verify the details of a seed variety at any point, ensuring genetic purity and quality assurance.
Source

This report summarises and analyses coverage from The Hindu BusinessLine — Agri Business. The analysis and India context are IndianAgri's own.

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