India achieved its target of 12% ethanol blend for supply year 2022-23 but may miss its 15% target for 2023-24 unless grain-based ethanol production is ramped up.
CRISIL has expected a 2.5 million-tonne increase in India s sugar production in 2023-24 due to a ban on using sugarcane juice for ethanol. The government s move immediately stops ethanol production from cane juice but permits it from B and C heavy molasses. With sugarcane supply issues, sugar mills face a choice between sugar and ethanol.
This measure is possibly in anticipation of low sugar production during the current crushing season from October 2023 to September 2024 after a weak monsoon, particularly in Maharashtra and Karnataka, which are major sugarcane producers.
India News: As sugar production is expected to fall in Maharashtra and Karnataka, the government plans to launch a new scheme for assured procurement of maize for