Karnataka mills worry there are still barriers to boosting ethanol production

August 15, 2018 |

In India, Karnataka sugar mills believe they won’t benefit from the recent deregulation of sugarcane juice and heavy molasses for ethanol feedstock due to oil marketing companies requiring cost sharing for transport and that 28% goods and services tax that is still lobbed on molasses. Ethanol is subject to only 5% tax. While mills are reticent about the opportunities to boost ethanol production, farmers believe it will be a cash cow and mills will be able to better pay dues for sugarcane.

Category: Fuels

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