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HomeRecent NewsEthanolEthanol blending in petrol hits 8.1% on better supplies

Ethanol blending in petrol hits 8.1% on better supplies

Ethanol blending in petrol has risen to 8.1% in the ethanol year 2020-21, up from 5% in the previous year and 1.5% in 2013-14, thanks to a raft of policy measures that helped increase supply through a combination of assured purchases at government-set remunerative prices and interest subsidy for production capacity expansion.The government has been aiming to increase the share of biofuels in the transportation sector to cut dependence on oil imports, which account for 85% of the domestic needs. Petrol makes up 15% of oil consumption in the country and a 10% substitution by ethanol could bring down oil imports by 1.5 percentage points.

As more supplies become available, the blending ratio is expected to reach 10% this ethanol year, which began last month.

“Limited supply was the biggest constraint. The government has addressed this by providing a supportive policy regime,” said Abinash Verma, DG, Indian Sugar Mills Association.

The above news was originally posted on

Aabkari Times Editorial Team
Aabkari Times is a monthly news magazine on Liquor, Excise and Alcohol allied industry; being published since 2009 by the expertise of retired excise dept. associates and alco-bev industry professionals as our editorial team. Our magazine contains different new alco-bev strategic and new brand launch articles as well as news on recent govt. policies, trends on alcohol industry and other important data relevant to the distilleries and industry at the mass.

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