New Delhi, Aug. 21 -- The Centre on Friday stated that rise in sugar prices cannot be attributed to ethanol, adding that the present hike in sugar prices is due to a combination of factors, including lower-than-expected domestic production, increased demand ahead of the festive season, weather-related damage to the sugarcane crop, tightening global sugar supplies and speculation and hoarding by some sections of the industry.
"It is incorrect to attribute the recent increase in sugar prices to the diversion of sugar for ethanol production. In fact, the share of sugar diverted for ethanol has declined from around 12 per cent in 2022-23 to around 9 per cent in 2025-26. Moreover, nearly three-fourths of the ethanol produced in the country now ...