OMCs receive bids for 1,934.5 crore litres of ethanol for ESY 2026-27, maize accounts for largest share
OMCs received ethanol offers of approximately 1,934.5 crore litres for the 2026-27 supply year, exceeding the 1,100 crore-litre tender. Maize dominated proposed supplies with 1,140.4 crore litres, followed by FCI rice and damaged foodgrains, highlighting grain-based ethanol’s growing importance.
Oil marketing companies (OMCs) are believed to have received bids for around 1,934.5 crore litres of ethanol for the 2026-27 supply year, which began this month, against the tendered quantity of 1,100 crore litres. The offers indicate sufficient feedstock availability for ethanol production in India, despite concerns over possible shortages, according to a corrigendum accessed by ChiniMandi.
A state-wise and feedstock-wise breakdown of the bids shows that maize is expected to remain the dominant raw material for ethanol production, accounting for the largest share of the proposed supplies. Damaged foodgrains and surplus rice procured by the Food Corporation of India (FCI) are the other major contributors.
Maize accounts for 1,140.4 crore litres of the total offers, followed by FCI rice at 457.8 crore litres and damaged foodgrains at 239.6 crore litres. C-heavy molasses (CHM) accounts for the remaining 96.7 crore litres.
The distribution highlights the growing importance of grain-based ethanol in India’s blending programme, particularly as the government has restricted sugarcane-based ethanol production during the 2026-27 supply year to the C-heavy molasses route.
Sugarcane juice, sugar syrup and B-heavy molasses have been excluded from the latest procurement tender as the government seeks to conserve domestic sugar supplies amid expectations of tighter availability in the coming season.
Karnataka topped the state-wise list with offers of 262.5 crore litres, followed by Uttar Pradesh at 257.8 crore litres and Madhya Pradesh at 205.7 crore litres. Maharashtra accounted for 125.2 crore litres, while Punjab and Andhra Pradesh recorded 118.7 crore litres and 115.9 crore litres, respectively.
Haryana accounted for 113.9 crore litres, Bihar 106.9 crore litres, West Bengal 98.9 crore litres and Chhattisgarh 76 crore litres. Telangana and Jharkhand recorded offers of 63.4 crore litres and 62.4 crore litres, respectively.
Uttar Pradesh led in maize-based offers at 158.1 crore litres, followed by Karnataka at 123.1 crore litres and Madhya Pradesh at 123 crore litres. Maharashtra accounted for 54.1 crore litres in this category.
Karnataka recorded the highest offers based on FCI rice at 101.1 crore litres, followed by Uttar Pradesh at 54.3 crore litres and Madhya Pradesh at 42.7 crore litres. Madhya Pradesh led in damaged foodgrain-based offers at 38.2 crore litres, while Maharashtra topped the CHM category at 36.8 crore litres.
Quarter-wise, the offers stood at 492.1 crore litres in the first quarter, 498.8 crore litres in the second, 490.6 crore litres in the third and 452.9 crore litres in the fourth quarter. The second quarter recorded the highest volume, while the fourth quarter had the lowest.
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Source : ChiniMandi