📷 Image: Wikimedia Commons / Devendramanaskar
Business
India Eyes Ethanol to Cut Fuel Import Dependence
✍️ BusinessLine
🗓 08 Nov 2026, 09:47 PM
👁 10
India is evaluating ethanol as a domestic biofuel to reduce reliance on imported fuels, with initiatives aimed at strengthening the biofuel sector.
India is exploring the use of ethanol as a domestic biofuel to lessen its dependence on imported fuels. The government has highlighted the potential of ethanol blended with petrol to reduce import bills and promote agricultural growth.
Current ethanol production in India is modest, largely derived from sugarcane molasses and other agricultural residues. While the industry is still developing, several states have initiated pilot projects to boost ethanol output and blend ratios.
Policy measures include incentives for ethanol blending, subsidies for feedstock cultivation, and the establishment of a national ethanol blending target. The aim is to create a self-sufficient biofuel supply chain that supports farmers and reduces fuel imports.
Industry experts expect gradual scaling of ethanol blending over the next decade, with a focus on infrastructure development and technology transfer to meet the projected demand for domestic biofuel.
Current ethanol production in India is modest, largely derived from sugarcane molasses and other agricultural residues. While the industry is still developing, several states have initiated pilot projects to boost ethanol output and blend ratios.
Policy measures include incentives for ethanol blending, subsidies for feedstock cultivation, and the establishment of a national ethanol blending target. The aim is to create a self-sufficient biofuel supply chain that supports farmers and reduces fuel imports.
Industry experts expect gradual scaling of ethanol blending over the next decade, with a focus on infrastructure development and technology transfer to meet the projected demand for domestic biofuel.