Diversified grain feedstocks strengthen India's ethanol supply resilience: AIDA
New Delhi, July 8
India's ethanol blending programme is entering a more resilient phase as a diversified mix of grain- and sugar-based feedstocks strengthens supply stability and positions the industry to support higher ethanol blending in the coming years, according to the All India Distillers' Association.
The AIDA release said the ongoing Ethanol Supply Year (ESY) 2025-26 reflects the growing maturity of India's biofuel ecosystem, with multiple feedstocks ensuring more stable ethanol supplies by reducing dependence on any single agricultural crop and adopting a balanced mix of raw materials.
"The latest ethanol supply data demonstrates that India's biofuel programme has evolved into a robust and resilient ecosystem driven by diversified feedstocks," AIDA President Vijendra Singh said.
He added that while maize continues to be the largest contributor, the increasing participation of surplus food grains and sugarcane-based feedstocks has strengthened supply chains and enhanced India's energy security.
"As the country moves beyond the E20 milestone, policy support for higher ethanol blends, Flex-Fuel Vehicles (FFVs), ethanol-diesel blending and next-generation biofuels will be essential to fully utilise the significant production capacity created by the industry," Singh said.
According to AIDA, cumulative ethanol supplies reached 717 crore litres by June 2026 against contracted volumes of 1,048 crore litres, achieving 68 per cent of the targeted supply during the ongoing ethanol supply year. Grain-based ethanol accounted for nearly 67 per cent of total supplies at 480 crore litres, while sugarcane-based feedstocks contributed 238 crore litres. Maize remained the single largest feedstock with 258 crore litres, followed by surplus Food Corporation of India (FCI) grains at 177 crore litres.
AIDA said the balanced contribution from multiple feedstocks has improved year-round ethanol availability, strengthened supply resilience and reduced dependence on any single crop, supporting the country's clean energy and energy security objectives.
The association said India's expanding ethanol production capacity and wider participation from grain and sugar sectors are expected to support higher blending targets while creating additional opportunities for farmers and rural supply chains. It added that policy measures promoting higher ethanol blends, flex-fuel mobility and new ethanol applications would be critical to fully utilise the industry's growing capacity, reduce crude oil imports and support India's long-term clean energy transition.
— ANI
Reader Comments
Diversification is key—relying only on sugarcane was always risky with water shortages. Maize-based ethanol is a game-changer, especially in states like Bihar and Karnataka. But we need to scale up flex-fuel vehicles fast! What's the point of producing ethanol if our cars can't run on E20 or E85? Auto industry needs to step up.
Impressive numbers—717 crore litres is no small feat! The 68% achievement against contracted volumes shows we're on track, but there's still a gap. Need to address logistics, especially in the northeastern states where ethanol distribution is patchy. Also, the government must provide better MSP for maize to encourage more farmers to switch.
Good progress, but I'm a bit skeptical about using surplus food grains for ethanol. Instead of converting grain to fuel, shouldn't we focus on reducing post-harvest losses and improving storage? The FCI already has enough challenges with rotting grain—using it for ethanol feels like a band-aid solution. Let's fix the root causes first.
As a farmer from Punjab, this is encouraging! Maize is becoming a viable alternative to water-guzzling paddy in our state. Ethanol distilleries setting up near farms means lower transportation costs and better income for us. But the government needs to ensure timely payments and clear policies for contract farming. We don't want another sugarcane payment crisis!
Interesting read! India's ethanol blending program is really taking off. The diversification makes sense—similar to how the US uses corn and Brazil uses
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