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Informist, Thursday, Aug 29, 2024

 

--Govt allows sugar diversion from all cane feedstocks in 2024-25

--Govt removes cap on sugar diversion for ethanol production 2024-25

--CONTEXT: Govt capped ethanol output from B-heavy molasses, cane juice 

 

NEW DELHI – The government said sugar mills can freely divert sucrose from all sugarcane-based feedstocks for ethanol production in the upcoming ethanol supply year starting November, according to the Department of Food and Public Distribution notification today. In the ongoing ethanol year, the government restricted ethanol making from sugarcane juice and B-heavy molasses to ensure sufficient sugar availability in the country. 

 

"With reference to this Directorate Order of even No. dated 15.12.2023, I am directed to inform you that sugar mills and distilleries are permitted to produce ethanol from sugarcane juice/sugar syrup, B-Heavy Molasses, and C-Heavy Molasses during ESY 2024-25 as per the agreement/allocation with OMCs," the notification said. 

 

Ethanol is made from starch-containing feedstocks such as molasses and grains. Sugarcane juice, B-heavy molasses, and C-heavy molasses are sugarcane by-products obtained during sugar extraction. Sugarcane juice has the most sugar content, followed by B-heavy molasses and C-heavy. 

Informist had earlier exclusively reported that the government would announce its 2024-25 ethanol policy by the end of August. Though the government has not imposed any upper limit on sugar diversion for ethanol production in 2024-25, the notification said that it would periodically review sugar diversion in the 2024-25 ethanol year.  

 

"The food department, in coordination with MoPNG, will periodically review the diversion of sugar to ethanol production in relation to the total sugar production in the country to ensure that sugar availability for domestic consumption is maintained throughout the year," it said. 

 

In another notification today, the government allowed ethanol distilleries to participate in the Food Corp of India's weekly rice auctions. The recent notifications ensuring more feedstock availability comes amid India's push for ethanol in the background of the Global Biofuel Alliance, spearheaded by the country. Informist had earlier exclusively reported that revisiting its ethanol policy from sugarcane-based feedstock is the priority of the government. 

 

Oil companies buy ethanol to blend with petrol to promote green mobility and achieve blending targets. To reduce dependence on crude oil, the government has set a target of achieving 15% blending of ethanol with petrol in 2023-24, 18% in the subsequent year, and 20% in 2025-26. As of Aug 1, India has achieved a cumulative blending of 13.3% in the ethanol supply year 2023-24 (Nov-Oct), according to the Petroleum Planning & Analysis Cell. End

 

Reported by Afra Abubacker

Edited by Deepshikha Bhardwaj

 

 

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