India considers limiting sugarcane diversion to ethanol
In India, Reuters reports India is considering restricting the amount of sugarcane diverted to ethanol production during the season beginning in October, according to government and industry sources. Mills diverted about 3 million metric tons of sugar, or roughly 10% of production, to ethanol this year. Limiting diversion could return a similar volume to domestic sugar supplies and help offset expected production declines caused by weak rainfall in Maharashtra and Karnataka. Officials are considering the move to contain record sugar prices and potentially avoid imports, with a decision expected by the end of September.
Category: Policy
