In India, Chini Mandi reported in their latest outlook for the global sugar market from 2025 to 2034, the OECD and FAO highlighted that India’s ethanol production from sugarcane will continue to grow, supported by government policies aimed at diversifying the sugar sector. According to the forecast, India is expected to maintain its position as the third-largest sugar exporter after Brazil and Thailand, contributing about 8% to global exports.
Currently, around 9% of India’s sugar is used to make ethanol. This share is projected to rise to 22% by 2034, the report said.
The rising production of ethanol can be attributed largely to policies supporting the use of domestically produced ethanol, which couple biofuel consumption and fossil fuel consumption, aiming at decarbonizing the transport sector. Additionally, governments have provided various types of support to promote domestic ethanol production, such as tax credits and support prices for feedstocks, the report added.
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Category: Food & Agriculture
