Brief by Shorts91 Newsdesk / 12:14pm on 16 Jul 2026,Thursday India
India is grappling with an ethanol surplus after rapidly expanding production capacity to support its fuel blending programme. With ethanol demand falling short of installed capacity, the government and industry are exploring export opportunities to prevent idle distilleries and financial losses. The surplus comes as the nationwide rollout of E20 petrol faces consumer concerns over vehicle compatibility and mileage, slowing domestic demand growth. While officials maintain that ethanol blending remains important for reducing crude oil imports and boosting energy security, the immediate challenge is managing excess supply and keeping the country's ethanol industry financially viable. (PC: Economic Times)
