ISMA Urges Ban on Ethanol Imports
16-Jul-2025 09:12 AM
ISMA Urges Ban on Ethanol Imports
★ ISMA has urged the central government to ban ethanol imports meant for fuel use.
★ The association warned that allowing such imports could jeopardize over ₹40,000 crore worth of investments made in the sector.
★ It also said timely payments to sugarcane farmers may be affected if imports are allowed.
★ The US is reportedly pushing India to open its market for fuel-grade ethanol under the proposed Bilateral Trade Agreement (BTA).
★ Since 2018, India’s ethanol production capacity has increased by more than 140%.
★ Ethanol blending in petrol has reached 19% and is expected to hit the 20% target by October 2025 — ahead of schedule.
★ ISMA credited this achievement to supportive government policies and the restriction on ethanol imports.
★ The association said lifting the import ban now would negatively impact domestic investments, job creation, and farmer incomes.