Amit Shah Advocates for Broader Ethanol Sources and Increased Efficiency in Sugar Industry
On August 10, Cooperation Minister Amit Shah urged sugar mills to diversify their ethanol production sources, emphasizing the need for modernization. Speaking at a National Federation of Cooperative Sugar Factories (NFCSF) event, Shah highlighted the goal of achieving 20% ethanol blending by 2025-26, advancing from the 2030 deadline. He encouraged the use of alternative feedstocks like maize and bamboo and suggested expanding NFCSF operations and increasing annual turnover by 25% over two years. The NFCSF is preparing a ten-year roadmap addressing sector challenges and sustainability.
On August 10, Cooperation Minister Amit Shah called on sugar mills to diversify their sources for ethanol production, advocating for a forward-thinking approach to biofuel manufacturing. His remarks were made during an event hosted by the National Federation of Cooperative Sugar Factories (NFCSF). Accelerating Ethanol Blending Goals Shah emphasized India’s commitment to achieving a 20 percent ethanol blending target by 2025-26, ahead of the 2030 deadline originally set. He noted that the government’s ethanol blending program has not only contributed to reducing the country’s crude oil import bill but also addressed environmental concerns. Diversification and Modernization The minister urged sugar mills to move beyond traditional practices and explore alternative feedstocks for ethanol production, such as maize and bamboo. “You need to be futuristic and look at opportunities and expand. Ethanol can be made from multiple sources,” Shah remarked. He highlighted that approximately 1,000 crore litres of ethanol are required to meet the blending target, and the infrastructure necessary to support this goal is already in place. Shah also stressed the importance of modernization within the industry, citing potential export opportunities as the Global Biofuels Alliance is established. He challenged the NFCSF to expand its operations, suggesting the setup of one cooperative sugar mill for every three districts in four states within a year. Focus on Efficiency and Growth Shah recommended that NFCSF hire professionals to assist struggling cooperatives and set a target to increase annual turnover by 25 percent over the next two years. He encouraged a shift towards a more dynamic and efficient Federation, rather than one that relies heavily on government assistance. Sector Challenges and Future Plans During the event, NFCSF President Harshavardhan Patil discussed several challenges faced by the sector. He called for an increase in the minimum selling price of sugar, higher rates for B-Heavy molasses and sugar syrup used in ethanol production, and the export of 10-20 lakh tonnes of sugar. The federation is currently preparing a ten-year roadmap for the sector, expected to be finalized by September 5. The NFCSF, which includes around 280 cooperative sugar mills from nine states, is at the forefront of implementing these changes, as India moves towards reducing fossil fuel dependency and advancing sustainable energy solutions.
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