Submitted by Rajandra Jadhav
Mumbai (Reuters) -Idia devotes record rice to ethanol production because it is fighting precedent -free spare, which is likely to be even more swelling when the new crop of the season comes, which is reverse from the previous flaws that have been exported.
Turning more rice into ethanol helps to reduce rice stocks in the world’s largest grain producer and exporter and to maintain an ambitious Indian ethanol mixing program, despite the reduction of traditional raw sugar sugar cane.
March India has removed the last of about two years of rice export restrictions, which have been driven by poor rain, which has led to the reduction of production. In this year’s rich monsoon rains are ready to supply abundant harvest.
“Our top priority is to make sure we have enough food,” a high government official told Reuters, refusing to be named because he was not allowed to talk to the media.
“But since we have a lot more rice than we really need, we decided to use some of it to make ethanol,” the official said.
The Indian State Food Corporation (FCI) allocated a record $ 5.2 million. Metric tones for rice ethanol, which is almost 9% of the world’s rice parcel 2024/25 marketing years ended in June. Less than 3,000 tons of FCI rice entered ethanol in previous years.
FCI buys nearly half of the Indian rice harvest and currently has reserves, including unimportant Paddy, June 1st. Record $ 59.5 million
The availability of rice to ethanol has reduced the pressure of corn prices, which has recorded a record in recent years, forcing a record Indian import.
Cereal distillation plants use corn, rice and damaged food grains as raw materials, transitioning from them, depending on the price.
India, oil importer no. 3 and oil products consumer, aimed at increasing ethanol mixing into gasoline by 20% to 2025/26. He almost reached this target last month and reached 19.8% of ethanol due to abundant rice.
The 20% goal seemed to be unavailable when the cane reserves, which accounted for 80% of ethanol raw materials up to three years, decreased due to drought in 2023, forcing the largest consumer of sweets to significantly reduce ethanol sugar route.
Last year, Indian gasoline was 14.6% ethanol.
The problem of many
Even more rice will be used for ethanol if the government reduces rice prices or increases the price of ethanol, said AruĊĦi Jain, a joint secretary of the Grain Ethanol Manufacturers Association.