look news india
Mumbai: The government has approved the supply of 2.3 lakh tonnes of rice grain to distilleries producing ethanol from Food Corporation of India (FCI) stocks. Sale of rice to distilleries was banned last year.
A list said the government has allowed ethanol producers to participate in e-auctions under the open market sale scheme.
The government currently has a stock of over 540 lakh tonnes of rice and rice production is expected to remain high in the current Kharif season.
Government sources said ethanol distilleries will be allowed to lift a maximum of 23 lakh tonnes of rice. Ethanol producers will be able to buy these through weekly e-auctions. In July last year, the government had banned the sale of rice for ethanol production. FCI conducts e-auctions for the sale of rice to private traders to manage excess stocks.
In another decision, the government removed the limit on sugar supply for ethanol production. The restriction has been lifted for the ethanol supply year (December to November) 2024-25. According to the government notification, sugar mills and distilleries will be able to produce ethanol from sugarcane juice/sugar syrup, B-heavy molasses and C-heavy molasses during the ethanol supply year (December to November) 2024-25.
