CCEA revises ethanol prices for Ethanol Supply Year (ESY) 2020-21
On 29 October 2020, the Cabinet Committee on Economic Affairs (CCEA) increased the ethanol prices in the range of 4%-6% on y-o-y basis for the ethanol supply year (ESY) December 2020-November 2021. The primary aim behind the move is to divert sugar towards production of ethanol so as to reduce the supply glut of sugar in the country and to achieve the target of 10% blending of ethanol with petrol set for the Ethanol Blended Petrol (EBP) Programme. Also, the revision in prices comes in the backdrop of change in sugarcane price which was increased in August 2020 by 3.6% to Rs. 285 per quintal for sugar year 2020-21.
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