Pioneer Distilleries doubles ethanol capacity as Indian E5 mandate takes effect

In India, Pioneer Distilleries will increase production capacity to 12.5 Mgy, double its previous capacity, as demand from petroleum companies has increased in the wake of the E5 mandate and the proosed E10 mandate for next year.
The E10 mandate proposed for October 2008 has been championed by the Agricultural ministry as a means of handling the nation’s severe sugar overproduction. India is projected to have a surplus of 11.5 million tonnes, based on a projected 33.15 million tonnes harvest this year, which would be a world record for national sugar production. Recently, 10 sugar-producing states have agreed to a framework for a national E10 mandate. India’s sugar crop this year is expected to exceed 29 million metric tons. With domestic consumption at 19 million tons and exports at 1.5 million tons, the country is turning to ethanol production to avoid a catastrophic sugar glut.

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