The government is considering a proposal to increase ethanol prices for the season starting November 2024, while also pushing for diversification of feedstocks, as it aims to achieve the 20 per cent blending target by 2025-26, sources said.

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Meanwhile, Cooperation Minister Amit Shah called on sugar mills to explore alternatives to sugarcane for ethanol production, pushing for a multidimensional approach to biofuel manufacturing.

Shah emphasised the need for sugar mills to adopt a forward-looking approach, stating, "You need to be futuristic and look at opportunities and expand. ...Ethanol can be made from multiple sources." 

The push for diversification comes as India seeks to reduce its dependence on fossil fuels and promote sustainable energy alternatives.

Amid this, Davangere Sugar Company Limited plans to produce Ethanol primarily from maize and other damaged grains until the crushing season begins in October 2024. 

To maximize ethanol production, the Davangere Sugar Company Ltd. aims to procure larger quantities of maize from various regions across the country. 

Government policy currently encourages ethanol production from maize, and the Central Government is in the process of establishing a National Coordinating Agency (NAFED) to procure maize from farmers and supply it to sugar factories for ethanol production. This initiative will benefit our factory and others by ensuring a sufficient supply of maize for continuous, year-round operations.

With agency inputs