India's ethanol supplies cross 800-crore-litre mark, grain-based share rises to 76 pc in July: AIDA
New Delhi, August 12
India's cumulative ethanol supplies have crossed the 800-crore-litre mark during Ethanol Supply Year 2025-26, with grain-based feedstocks accounting for around 76 per cent of monthly supplies in July, according to data compiled by the All India Distillers' Association.
A total of 93 crore litres of ethanol was supplied in July, taking cumulative supplies beyond the 800-crore-litre milestone. Grain-based feedstocks contributed 71 crore litres during the month, compared with 75 crore litres out of 103 crore litres in June.
The share of grain-based ethanol consequently increased to around 76 per cent in July from approximately 73 per cent in June, even as overall monthly supplies moderated.
Maize and surplus Food Corporation of India (FCI) grains emerged as the key contributors within the grain-based segment, accounting for 30 crore litres each in July. Together, they contributed nearly 85 per cent of grain-based ethanol supplies during the month.
Damaged food grains contributed another 11 crore litres, highlighting the growing role of multiple grain streams in supporting India's ethanol supply chain.
Sugarcane-based feedstocks, meanwhile, contributed 22 crore litres in July, down from 28 crore litres in June. Their share of total monthly supplies declined to around 24 per cent in July from 27 per cent in June.
Within sugarcane-based supplies, B-Heavy Molasses accounted for 17 crore litres, while Sugarcane Juice contributed 4 crore litres and C-Heavy Molasses contributed 1 crore litre.
Bharati Balaji, Deputy Director General, All India Distillers' Association, said crossing the 800-crore-litre mark was an important milestone for India's ethanol programme and reflected the scale achieved by the domestic industry.
"What is equally significant is the movement in the monthly supply mix. Grain-based ethanol increased its share from around 73 per cent in June to 76 per cent in July, with maize and surplus FCI grains each contributing 30 crore litres," she said.
"The supply side has demonstrated its ability to respond through multiple feedstocks and a growing production base. The next step is to create sufficient demand for this capacity," Balaji added.
She said higher ethanol blends, Flex-Fuel Vehicles and wider applications of ethanol could help unlock the potential of the ecosystem developed over the past decade.
"The industry has created a much stronger production base, and the priority now should be to ensure that this capacity is utilised efficiently. A clear and predictable framework for expanding ethanol applications will be critical to sustaining investments, supporting the agricultural value chain and advancing India's transition towards cleaner domestic fuels," Balaji said.
According to AIDA, creating additional avenues for ethanol utilisation will be important as domestic production capacity expands and the country advances its clean mobility and renewable fuel objectives.
— ANI
Reader Comments
Interesting that grain-based ethanol is now dominating over sugarcane. This could be a game-changer for farmers diversifying their crops. But I wonder about the impact on food grain prices—are we creating competition between fuel and food? Just a thought.
Finally, a sensible approach to our agricultural surplus! Using damaged FCI grains for ethanol is brilliant—it reduces wastage and helps farmers get value for their produce. The 11 crore litres from damaged grains alone is impressive. Make in India at its best!
The transition from sugarcane to grain-based ethanol is a strategic move. As we push for ethanol blending, we need to ensure the supply chain is sustainable. The AIDA's focus on expanding applications—Flex-Fuel Vehicles and beyond—makes sense. Otherwise, we'll just be producing ethanol without enough demand.
Good data-heavy reporting. The 76% grain-based share is a clear indicator that India is diversifying its feedstock base. This reduces over-reliance on sugarcane and provides a more resilient supply chain. The next steps should be about demand creation—higher blends and EVs that run on ethanol.
It's heartening to see our agri-waste and damaged grains being put to productive use. This strengthens the rural economy. But I'd like to see more government push for ethanol pumps across the country—not just in metros. Clean energy should reach the grassroots too. 🌾
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