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Maharashtra: Pune sugar mills show wide gap between ethanol quotas and actual supplies

Pune’s ethanol suppliers showed wide variation against ESY 2025-26 allocations through August 2026. Nira-Bhima supplied 99%, while Bhimashankar and Parag Agro Foods achieved only 12.9% and 9.2%. Venkateshkrupa exceeded its quota at 112.5%, highlighting differences in capacity, feedstock, operations and offtake.

Pune: Sugar factories and distilleries in Pune district are showing significant differences in their ability to supply ethanol against the quantities allocated to them under the ethanol supply year (ESY) 2025-26.

While several factories have supplied more than 95% of their allocated ethanol quota, others have delivered only a small fraction of the quantity assigned to them. The data, available up to August 2026, highlights the varying production and supply capabilities of ethanol-producing units across the district.

Nira-Bhima Cooperative Sugar Factory recorded one of the highest fulfilment rates, supplying 8,063 kilolitres (KL) against an allocation of 8,145 KL, or 99% of its quota. Sant Tukaram Cooperative Sugar Factory supplied 4,896 KL out of 5,001 KL, achieving 98%, while Someshwar Cooperative Sugar Factory and Vighnahar Cooperative Sugar Factory supplied 97% of their respective allocations.

Malegaon Cooperative Sugar Factory supplied 13,989 KL against a quota of 14,667 KL, translating into a fulfilment rate of 95.4%.

At the lower end of the table, Bhimashankar Cooperative Sugar Factory supplied only 2,380 KL against an allocation of 18,500 KL, or 12.9%. Parag Agro Foods supplied 785 KL against its quota of 8,546 KL, representing just 9.2%.

Regola Bio-Chemical supplied 2,512 KL against an allocated 7,293 KL, meeting 34.4% of its quota.

Venkateshkrupa Sugar Mills was an outlier, with reported supplies of 12,599 KL against a quota of 11,196 KL. This translates into 112.5% of the allocated quantity.

ethanol quota and actual supply in pune district

Factory Quota received (KL) Actual supply (KL) Supply against quota
Nira-Bhima Cooperative Sugar Factory 8,145 8,063 99.0%
Someshwar Cooperative Sugar Factory 4,250 4,125 97.0%
Vighnahar Cooperative Sugar Factory 6,000 5,819 97.0%
Sant Tukaram Cooperative Sugar Factory 5,001 4,896 98.0%
Malegaon Cooperative Sugar Factory 14,667 13,989 95.4%
Bhimashankar Cooperative Sugar Factory 18,500 2,380 12.9%
Parag Agro Foods 8,546 785 9.2%
Regola Bio-Chemical 7,293 2,512 34.4%
Venkateshkrupa Sugar Mills 11,196 12,599 112.5%

The wide variation raises questions about the factors determining actual ethanol supplies against allocated quotas. Production capacity, availability and cost of feedstock, operational constraints, economic viability and offtake by oil marketing companies could all influence the quantities ultimately supplied.

Ethanol production has emerged as an important additional revenue stream for the sugar industry as the government promotes higher ethanol blending in petrol. The policy also allows sugar mills to divert part of their sugar output towards ethanol, which can help improve the financial position of mills and support timely payments to sugarcane farmers during periods of surplus sugar production.

Besides sugarcane-derived feedstock, ethanol production can also use raw materials such as maize, surplus rice from the Food Corporation of India (FCI) and damaged or spoiled foodgrains.

The significant differences between allocated quotas and actual supplies in Pune district therefore warrant closer examination to determine whether the gaps primarily reflect production constraints, feedstock availability, commercial considerations or demand and lifting patterns among oil marketing companies.

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Source : ChiniMandi

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