Both the mills, units of Hindustan Paper Corporation Limited, a Government of India enterprise, were closed for several years.
Secretary, Heavy Industries and Public Enterprises, Girish Shankar informed Assam Chief Minister Sarbananda Sonowal about the Rs 800 crore proposal that has been prepared for revamping Nagaon Paper Mill and Cachar Mill, an official release said here.
Sonowal held a meeting with Shankar in New Delhi today.
Emphasising on fast-track reopening of the two mills, Sonowal said the state government would relax VAT on bamboo and coal for the units.
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