India: Biofuels Annual
India’s average blending rate for ethanol in gasoline is expected to reach a record 5.8 percent, up from a previous record 4.1 percent last year and considerably higher than historical levels. A surplus sugar season coupled with a stronger incentive to convert excess sugar to ethanol helps oil-marketing companies (OMCs) procure upwards of 2.4 billion liters this year. An upsurge in demand for the ethanol blending program (EBP) and consequent tight supply for industrial and potable use will encourage ethanol imports (mostly denatured) to grow 19 percent year-over-year to a record 750 million liters. The biodiesel market remains nearly nonexistent due to limited access to feedstock limited production capacity, a rudimentary supply chain, and import restrictions.
