5 months ago
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The Indian Sugar Mills Association (ISMA) on Friday suggested compensatory increase in pricing for ethanol produced from B and C heavy molasses in the wake of the direction of the Ministry of Consumer Affairs, Food and Public Distribution restricting the use of sugarcane juice and syrup for ethanol production.
“While acknowledging the government’s intent to balance the (sugar) needs of consumers, ISMA proposed specific measures to ensure a smooth transition,” it said in a statement.
The Association appealed to the government to permit conversion of the remaining contracted/cancelled juice quantity to B-heavy molasses, allow distilleries to continue processing existing juice stock to ethanol until December 10, with the produced ethanol to be supplied to the OMCs until December 20, and compensatory increase in pricing for ethanol.
The direction can result in reduction of the crushing capacity of sugar mills leading to delay in crushing season and losses to sugar mills and sugarcane farmers. Hence, the suggested measures should be implemented, it said.
