2G ethanol plant to be set up in Gorakhpur


Gorakhpur: Uttar Pradesh Chief Minister Yogi Adityanath will lay the foundation stone of the first-ever second-generation ethanol plant at Gorakhpur on Wednesday. Authorities are inspecting here from time to time to make sure everything goes as planned. The plant will produce ethanol directly from crushing the sugarcane.

The plant will help thousands of farmers in the vicinity as agricultural residues such as sugarcane by-products and others will be used to produce biofuel.

Recently, the government increased the price of ethanol from C heavy molasses from Rs.43.46 per litre to Rs.43.75 per litre, and the price of ethanol from B heavy molasses hiked from Rs.52.43 per litre to Rs.54.27 per litre. Price of ethanol from sugarcane juice/sugar/sugar syrup route was fixed at 59.48 per litre.

Millers in India are struggling because of unsold stocks. Therefore, the government is focusing on ethanol production to strengthen the financial condition of sugar mills. The Central government has the vision to achieve 20 per cent ethanol blending with petrol by 2030 and is moving in the same direction. Experts believe the production of ethanol will aid sugar mills to improve the financial condition as they are struggling with depressed sugar prices, surplus stocks and piling cane arrears.

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