Amit Shah Urges Sugar Mills to Diversify into Ethanol Production

Cooperation Minister Amit Shah called on sugar mills to explore alternatives to sugarcane for ethanol production, advocating a multi-dimensional approach. He emphasized reducing crude oil imports, environmental benefits, and modernizing sugar mills. Shah urged the NFCSF to expand, hire professionals, and set ambitious operational targets.

Cooperation Minister Amit Shah on Saturday urged sugar mills to diversify into alternative feedstocks for ethanol production, emphasizing a move towards a multi-dimensional approach to biofuel manufacturing.

Speaking at an event organized by the National Federation of Cooperative Sugar Factories (NFCSF), Shah projected that India would achieve its 20% ethanol blending target by 2025-26, ahead of the 2030 deadline.

Highlighting the benefits of the ethanol blending program, Shah noted its role in reducing India's crude oil import bill and addressing environmental concerns. He encouraged sugar mills to explore feedstocks like maize and bamboo, shedding their orthodox methods.

Shah pointed out that about 1,000 crore litres of ethanol are required for blending and assured that the infrastructure to meet this demand is in place. He also stressed the importance of modernization and new technologies in sugar mills, mentioning potential export opportunities once the Global Biofuels Alliance is established.

Addressing the NFCSF, Shah challenged the federation to expand operations by setting up cooperative sugar mills in multiple districts within a year. He also advised the NFCSF to recruit professionals for guiding loss-making cooperatives and set a target of increasing mills' turnover by 25% over two years.

The minister also commented on the sector's inefficiencies, urging for greater efficiency and dynamic operations. Shah highlighted the importance of reducing dependence on fossil fuels and promoting sustainable energy alternatives.

In recognition of their efforts, Shah awarded the best performing cooperative mills in various categories. NFCSF President Harshavardhan Patil noted existing challenges and demanded an increase in the minimum selling price of sugar and rates for ethanol-based products.

The NFCSF is preparing a ten-year roadmap for the sector, expected to be ready by September 5, involving 280 cooperative sugar mills from nine states.

(With inputs from agencies.)