Cabinet raises ethanol procurement prices effective December 1

The central government on Wednesday increased the procurement price of all three categories of ethanol produced from different sources by 1.27-2.55 per cent for the 2021-22 season, which begins from December 1.

For ethanol produced from second generation sources that include grain-based sources, such as broken unused rice, wheat or corn, the Cabinet Committee on Economic Affairs (CCEA) decided to leave it to the oil public sector undertakings (PSUs) to determine the price at which they would want to purchase it.

“It is important to note that grain-based ethanol prices are currently being decided by oil marketing companies (OMCs) only,” according to an official statement released after the meeting of the CCEA.