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Sugar-Based Ethanol’s Shrinking Role in India’s EBP Mix

26 April 20251 min read
AGRICULTURE & RURALSugar-BasedEthanol’sShrinking Role inIndia’s EBP Mix26 April 2025safalsetu.com

Why in the news

Sugar-based ethanol, central to blending when it began in 2003, is losing share to grain-based supply.

Limits of sugar-based ethanol

  • Water-hungry and tied to sugar availability; last year’s monsoon failures cut priority.
  • No hike in procurement price for cane juice or B-heavy molasses ethanol.
  • Mills face idle distilleries and financial strain.

Shift

SourcePosition
Grain-basedFavoured; surplus maize and FCI rice; capacity 505 crore litres
2G biofuelsFrom crop residues; technology still maturing

Way forward

  • Adopt multi-feedstock output.
  • Extend the interest subvention scheme, now for cooperative mills, to private mills (60% of sector).
  • Retrofitting aid and assured pricing.

Exam angle

  • EBP programme began in 2003.

Test yourself

1. In which year was India's Ethanol Blended Petrol programme launched with sugar-based ethanol as a pillar?

Sugar-based ethanol was pivotal at the EBP launch in 2003.

2. How many litres of water does producing one litre of ethanol from sugarcane need?

The notes state 2,860 litres of water per litre.

3. India's 20% ethanol blending target achieved in 2024-25 relied on roughly what grain to sugar mix?

The mix was 70% grain-based and 30% sugar-based.