Indian Distilleries sign deals for 1.7Billion liters of ethanol sales to OMCs

In India, ethanol supply contracts for 1.70 billion liters have been entered into between ethanol manufacturers/sugar mills and oil marketing companies (OMCs) for the current ethanol supply year (Dec-Nov) 2019-20.

Against this, 925 million liters of ethanol have already been supplied to the OMCs between Dec. 1, 2019 and June 22, 2020, achieving an average all India blending of 5.09% with petrol for the period. This is almost as per contracts signed for the supplies.

B-heavy molasses and sugarcane juice have been diverted away from sugar, to manufacture and supply 580 million liters of ethanol to OMCs from in current sugar year up to June 22, 2020. As per contracts entered into by the sugar mills across the country, another 230 million liters of ethanol will be manufactured from B-molasses and cane juice for supply in the balance period up to Nov. 30, 2020. This use of B-molasses and cane juice into production ethanol, and not for sugar production, will result in a diversion of sugar of around 800,000 metric tons.