The Ethanol blending programme of India will result in lowering the sugar export from the world’s second-largest sugar producer country, as per the report of research firm BMI, a unit of Fitch Solutions, reports Reuters.
The report Asia Biofuel Outlook states that the government’s programme of increasing ethanol blending in gasoline to cut oil imports and reduce carbon emissions will help in supporting global sugar prices.
India is increasing the capacity to produce ethanol made from sugarcane and as more crop is used for biofuel production, the amount of sugar produced will be limited.
Ethanol blending in India has reached 11.5% and the government has set a target of 20% by 2025, according to the U.S. Department of Agriculture (USDA).
