Sugar industry seeks ethanol price revision and extension of blending targets as its contribution to the national blending programme drops to 28% from 73%.
The industry demands promotion of Flex-Fuel Vehicles to boost ethanol demand and increase market preparedness for higher blending.
Ethanol supply from sugar-based feedstocks declined to 270 crore litres in 2023-24, contributing only 38% to the total blending target of 900 crore litres.
India's ethanol production capacity has grown significantly, reaching 1,800 crore litres in 2025, with a blending rate of 18.61% as of April 30, 2025.