India’s ethanol mandate slowed down further by hitches at OMCs

October 3, 2013 |

In India, the oil marketing companies are set to miss the 5% ethanol mandate this year as well as the E10 set to begin in December due to delays in sourcing ethanol from sugar mills. The OMCs need to inspect sugar mills before awarding purchase orders but those inspections are delayed, pushing the date back further and putting mills at risk as it gets later into the season. About 20% of the bids for ethanol were rejected for being to high, but now farmers in Maharashtra are threatening to strike if higher prices aren’t paid for ethanol. About 1,000 farmers are expected to block fuel shipments to gas stations beginning Sunday unless the government boosts the price of ethanol to 97 cents per liter from 65 cents currently. The previous price set by the government was 43 cents per liter.

Category: Fuels

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