Sugar mills in Maharashtra target to supply 121 crore liters of ethanol to OMCs

07-Mar-2025 10:44 AM

The sugar mills in Maharashtra have set an ambitious target of supplying 121 crore liters of ethanol to Oil Marketing Companies (OMCs) during the 2024-25 marketing season (November-October).

Despite facing challenges, including a significant reduction in sugar production and the closure of over 50% of the mills due to a shortage of sugarcane, the state government remains committed to increasing ethanol production.

Maharashtra's government is focused on empowering farmers, women, and underprivileged communities, and is actively working on infrastructure and industrial development.

The governor emphasized that blending ethanol in petrol is beneficial for both energy sustainability and reducing carbon emissions. The state is prioritizing ethanol production as part of its broader developmental goals.

However, the situation is complicated by a shortage of sugarcane. By March 4, 2025, 102 out of 200 active sugar mills were shut down, much higher than last year's closure numbers.

This shortage, along with the attractive domestic price of sugar, is causing concern that ethanol production may fall short of the target.

Although the central government has not imposed a cap on the use of sugarcane for ethanol production, mills and distilleries are still struggling with the supply.

The situation reflects a challenging but vital intersection of agricultural policy, energy needs, and environmental considerations, with the state working hard to meet its ethanol supply targets while navigating these difficulties