Indian government considers resuming rice supplies to local ethanol producers

In India, Mint reported that the Indian government is considering resuming rice supplies for ethanol production, amid concerns that it might miss production targets due to a shut-down by ethanol distilleries.

The Indian government had previously stopped supplying subsidized rice to state governments, putting these stocks for open market sales instead. However, these stocks found no takers after prices zoomed, prompting the government to order the Food Corporation of India to halt rice supplies for ethanol production last month, according to the report.

This disruption in rice supply to distilleries for ethanol production has reportedly led to a temporary shutdown of a few units, the report added.

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