Govt bars sugarcane juice for ethanol production

New Delhi: The Centre on Thursday banned the use of ‘sugacane juice and sugar syrup’ for ethanol production in the 2023-24 supply year that started this month, in order to maintain adequate sugar availability for domestic consumption and to keep prices under check. However, the government has allowed use of ‘B-molasses’ for ethanol production in 2023-24, a move which sugar industry bodies welcomed.

In a letter issued to all sugar mills and distillers, the Food Ministry directed them “not to use sugarcane juice /sugar syrup” for ethanol production during the 2023-24 ethanol supply year (December-November). The directive was issued as per clause 4 and 5 of the Sugar (Control) Order 1966.

“Supply of ethanol from existing offers received by Oil Marketing Companies (OMCs) from B-Heavy molasses will continue,” Food ministry said in the letter. The decision by the ministry comes in the backdrop of estimated fall in sugar production in 2023-24 marketing year (October-September). Welcoming the move, the National Federation of Cooperative Sugar Factories (NFCSF) Managing Director Pakash P Naiknavare said, “There is huge stock of ethanol made from B-molasses lying in the country apart from contracted quantities. The letter resolves the industry’s concern.”