ARTICLE 3 #GreenFuel

The Indian sugar sector is urging the government to ramp up ethanol blending with petrol from the current 20% (E20) to 27% (E27), arguing that the country already has surplus ethanol production capacity from sugarcane.

Regulatory / export risk: Government may restrict exports or change diversion rules if domestic sugar supply becomes tight. Key metrics to monitor: ethanol blending rate achievements, changes in government notifications on sugar/ethanol, sugar cane harvest/production numbers, molasses prices, and margins of mills.