Punjab, Oct. 18 -- The government has set sugar diversion for ethanol to zero for the 2026-27 supply year. The oil marketing companies' tender for roughly 1,100 crore litres bars ethanol made from sugarcane juice, sugar, sugar syrup and B-heavy molasses outright - and cuts the maize incentive at the same time.
What the tender says
Issued on 16 October by BPCL on behalf of the OMCs, it seeks bids for about 11 billion litres for the supply year beginning in November, split across four quarters to October 2027. The document cites a government direction that sugar diversion be reduced to zero.
The maize-based procurement price falls from Rs 71.86 to Rs 68.86 a litre, with the incentive component dropping from Rs 5.79 to Rs 2.79.
Two further...