Balrampur Chini Mills (BCML) anticipates a decline in ethanol production in next quarter following the government’s restriction in ethanol production, reported CNBCTV18.
Pramod Patwari, Chief Financial Officer of Balrampur Chini Mills, said that sugar production will remain on track, with the company projecting an overall revenue growth of 10-11% for the financial year 2024 (FY24).
Patwari also addressed the repercussions of the recent ₹20 per quintal hike in the state-advised price (SAP) for sugarcane during the 2023-24 season (October 2023-September 2024). All ten manufacturing units of Balrampur are located in the state of Uttar Pradesh.
In addition to the Centre determining the fair and remunerative price (FRP) on the crop, the SAP is set by the governments of sugar-producing states, considering the cost of production in specific regions.
Patwari expressed confidence that volume growth and improved recovery would counterbalance the impact of the higher-than-anticipated ₹20 increase in the SAP.