NEW DELHI: The authorities is contemplating rising ethanol costs, raising minimal promoting value (MSP) of sugar, and reviewing the export of the sweetener, meals and shopper affairs minister Pralhad Joshi mentioned on Thursday. He additionally mentioned that his ministry has written to Niti Aayog to organize a roadmap for rising the goal of ethanol mixing in petrol to 25%.
The govt is assured of reaching the 20% goal by March 2026 with this 12 months the general ethanol mixing touching 14%. The sugar trade majors have vowed to extend ethanol manufacturing, although they’ve sought a hike in value of the inexperienced gas.
Responding to questions on the likelihood of mountain climbing ethanol costs on the sidelines of a world convention organised by trade physique ISMA, Joshi mentioned, “The petroleum ministry is seized of the matter. We are in touch with the petroleum ministry. It is well under consideration to hike the ethanol price.” On the problem of permitting sugar export, he mentioned govt will take a call after trying into subsequent 12 months’s manufacturing and availability of the sweetener. Joshi was optimistic about sugar manufacturing for the 2024-25 season beginning October, citing good monsoon.
Joshi additionally mentioned a committee of secretaries is deliberating on a proposal to extend the minimal promoting value (MSP) of sugar in response to a requirement from the trade. The MSP mounted by the government has remained at Rs 31 per kg since February 2019.
Earlier, ISMA president M Prabhakar Rao urged the government to extend the sugar MSP to at the least Rs 39 per kg and permit exports of 20 lakh tonne contemplating good harvest within the coming season. Association vp Gautam Goel mentioned exports ought to be allowed instantly as international costs have firmed up within the final two weeks on reviews of doubtless drop in manufacturing in Brazil and India can regain misplaced market share.
Meanwhile, talking on the occasion, Union meals secretary Sanjeev Chopra mentioned sugar stays the important thing supply of getting ethanol, although there had been talks of whether or not sugar-based ethanol is the proper technique to go ahead contemplating the water consumed by the cane crop. He added {that a} detailed examine performed involving govt institutes on sugar, maize and rice discovered that whereas one litre of ethanol produced from sugarcane requires 3,630 litres of water, maize wants 4,670 litres and rice requires 10,790 litres.
