Soon after oil marketing companies announced they would not purchase ethanol made from sugarcane juice/syrup or B-Heavy Molasses (BHM), the Food Ministry on Thursday wrote to all the sugar mills informing about a ban on the biofuel production from these two sugar-based feed stocks.
In a letter, the Ministry h said that diversion of sugar to ethanol is not permitted in ensuing Ethanol Supply Year (ESY) 2026-27 (November 2026 to October 2027). “Accordingly, Sugar Mills/Distilleries are not allowed to produce ethanol from sugarcane juice and B-heavy molasses in the ensuing ESY 2026-27,” it said in a brief letter.