India’s Maharashta state removes 14 cent ethanol export tax; will expand ethanol supply by 475 Mgy to 11 Indian states

In India, the Chief Minister of Maharashtra state removed the 14 cents-per-gallon duty on export of ethanol to other Indian states, helping pave the way for increased supply of ethanol as India struggles to meet the E5 mandate. The state plans to export 475 million gallons of sugarcane ethanol to 11 states and three Union territories over the next three years.

Maharashta is primarily home to sugarcane ethanol, but Praj and Tata Chemicals established a joint venture to construct a $10 million sweet sorghum based ethanol plant in the state. The plant will have a capacity of 3 Mgy of ethanol and commences operation in September 2008. The plant will generate its own power with the help of bagasse from the milling process.

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