Govt halts supply of subsidised rice for ethanol, assessing impact on EBP
The Indian government has stopped releasing subsidised rice for the production of ethanol after it banned the export of non-basmati white rice. However, it will likely be resumed once several issues including allegations of profiteering by grain-based distilleries by diverting the grain to the open market are addressed.
On the other hand, 10-12 distilleries in Uttar Pradesh and 15-16 units in Maharashtra have stopped their operations due to non-availability of rice from the Food Corporation of India, industry sources said. But, the government is confident that there will not be any overall impact on the Ethanol Blended Petrol (EBP) programme, official sources said adding, this issue of non-availability of feed stock is temporary and will be resolved soon.
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