ESY 2025-26: 179.8 crore litres ethanol blended till December 2025
India’s ethanol blending reached 20% in December 2025, with strong growth in production and capacity. OMCs allocated over 1,048 crore litres for ESY 2025–26, led by maize-based ethanol. Rising blending is cutting crude imports, saving foreign exchange, and supporting cleaner energy and rural economic growth.
India continues to make steady progress in the ethanol sector, with year-on-year increases in production and blending levels alongside expanding manufacturing capacity. This advancement is transforming the country’s energy landscape while supporting economic growth and fostering sustainable development in rural regions.
During the current Ethanol Supply Year (ESY) 2025–26, ethanol blending in petrol reached 20 per cent in December 2025. In the same month, Oil Marketing Companies (OMCs) received 102.4 crore litres of ethanol under the Ethanol Blended Petrol (EBP) Programme. Official data indicates that a total of 90.2 crore litres of ethanol was blended into petrol in December 2025.
According to the Ministry of Petroleum & Natural Gas’ (MoPNG) PPAC data, from November to December 2025 (ESY 2025–26), the cumulative average ethanol blending stood at 20 per cent, ethanol received by PSU OMCs under the EBP Programme totalled 147.8 crore litres, and ethanol blending reached 179.8 crore litres.
This accelerated progress has helped reduce dependence on imported crude oil, resulting in significant foreign exchange savings and strengthening India’s transition towards a cleaner and more self-reliant energy future.
The OMCs have allocated around 1,048 crore litres of ethanol against 1,776 crore litres of offers submitted by manufacturers across the country for ESY 2025–26 (Cycle 1). OMCs had invited tenders for the supply of 1,050 crore litres of ethanol for ESY 2025–26.
In the allocation, maize holds the largest share at 45.68 per cent (around 478.9 crore litres), followed by FCI rice at 22.25 per cent (around 233.3 crore litres), sugarcane juice at 15.82 per cent (around 165.9 crore litres), B-heavy molasses at 10.54 per cent (around 110.5 crore litres), damaged food grains at 4.54 per cent (around 47.6 crore litres), and C-heavy molasses at 1.16 per cent (around 12.2 crore litres).
Currently, India’s total ethanol production capacity as of November 2025 is about 1,990 crore litres, and the industry is calling for an increase in ethanol blending beyond 20 per cent, stating that capacities are underutilised.
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Source : Chinimandi
