GOI mandates maintaining minimum distance norm for standalone distilleries producing cane based ethanol

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On 13th January 2022, the Department of Food & Public Distribution in a notification directed standalone distilleries proposing to produce ethanol from sugarcane juice by crushing sugarcane in its premises is required to follow the provisions of Sugarcane (Control) Order, 1966 including maintaining a distance of 15 km from the neighboring existing sugar mills or the distance higher than 15 kms fixed by the concerned State Governments.

Such distilleries which are procuring sugarcane juice/ syrup from other sugar mills and sugar mills which are selling B-Heavy molasses or C-heavy molasses or cane juice / sugar syrup/ sugar are required to adhere to modalities indicated in the guidelines issued by DFPD vide letter dated 02.12.2021 regarding diversion / sale of B- Heavy/ C- heavy molasses or cane juice / sugar syrup/ sugar including sale of B Heavy molasses.

It is also clarified that, distilleries including standalone distilleries can produce ethanol from sugarcane juice/ syrup purchased from sugar mills only (i.e. mills which are producing sugar from vacuum pan process) for supplying to OMCs under Ethanol Blending Petrol (EBP) programme. Distilleries / standalone distilleries are not allowed to procure sugarcane juice/ syrup from any Khandsari unit to produce ethanol for supplying to OMCs under EBP as Khandsari units are not covered under the Sugarcane (Control) Order, 1966.

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