Center removes cap on sugar diversion for ethanol production
In a notable policy shift, the central government has permitted sugar mills and distilleries to use cane juice or syrup to produce ethanol for the upcoming Ethanol Supply Year 2024-25, starting 1st November 2024. This update, announced in a notification on 29th August 2024, removes the previous cap on sugar diversion for ethanol production. Additionally, distilleries can now purchase up to 2.3 million metric tonnes of rice from the Food Corporation of India for ethanol production.