Ethanol-Producing Sugar Mills Contribute to Food Security, Reduce Petroleum Import Bill: Shah

(PTI news service/The Print) Union minister Amit Shah on Saturday said ethanol-producing cooperative sugar mills not only contribute to food security but also help reduce the country’s petroleum import bill.

He was speaking after laying the foundation stone for the revival and modernisation of three sugar mills in Gir Somnath and Valsad districts of Gujarat.

The revival of these three sugar mills will bring a significant change in the lives of nearly 10,000 farmers of this region, he said after the event held at Kodinar in Gir Somnath.

Their revival is being carried out through Indian Potash Limited, in which 60 per cent of the share capital is held by cooperatives, the Minister for Home and Cooperation said.

Shah said Prime Minister Narendra Modi has transformed India’s food-producing farmers into energy-producing farmers by integrating energy production with several sugar mills through ethanol and seeds.

“Ethanol-producing cooperative sugar mills not only contribute to food security but also help reduce the country’s petroleum import bill. This will help transform farmers from local producers to global biofuel producers, with India entering the global export market by increasing ethanol production,” Shah said.

Indian Potash Limited, the State Cooperative Bank, the Gujarat government and the Union government have come together for the same in the interest of farmers, he said.

“To increase sugarcane production, Indian Potash Limited has introduced new types of seeds, sugarcane harvesting machines, fertilizer spraying through drones, drip irrigation systems, and has even set up factories for ethanol and gas production,” he said.

Our goal is to produce ethanol, compressed biogas and organic fertilisers from sugarcane in these three factories, Shah added.

Under the Modi government, the agriculture budget increased from Rs 22,000 crore in 2013-14 to Rs 37 lakh crore in 2023-24, a six fold rise. Furthermore, loans given to farmers increased to Rs 25.5 lakh crore from Rs 8.5 lakh crore, reflecting PM Modi’s vision for the welfare of farmers, he said.

While the price of DAP (Di-Ammonium Phosphate) is rising worldwide, PM Modi has kept it stable in the country by providing subsidies, according to Shah.

Shah also inaugurated a ‘Sainik school’ building, its staff quarter, and various buildings of Jai Ambe Hospital and Brahmanand Vidyadham guest house at Brahmanand Vidyadham located in Chaprada in Junagadh district.

Besides, he laid the foundation stone of Pujya Muktanand Bapu Medical College and Research Institute and Shri Brahmanand Vidyamandir Sanskrit Shakti Gurukul.

Addressing the gathering on the occasion, Shah said that under the leadership of PM Modi, the issues that remained pending after independence have been resolved. PTI KA NP READ MORE

Excerpt from Indian Cooperative: In a significant move to enhance ethanol production and support cooperative sugar mills, the Central Government has announced a modified scheme to facilitate the conversion of existing sugarcane-based ethanol plants into multi-feedstock plants. This will enable the use of grains like maize and damaged food grains (DFG) to increase ethanol output under the Ethanol Blended with Petrol (EBP) Programme.

The scheme, exclusively for Cooperative Sugar Mills (CSMs) across the country, aims to improve liquidity, clear cane price arrears, and boost ethanol supply. Only cooperative mills with existing, running ethanol plants having valid Consent to Operate (CTO) and Petroleum and Explosives Safety Organization (PESO) licenses will be eligible for assistance.

Under this initiative, the government will provide an interest subvention of 6% per annum or 50% of the interest rate charged by financial institutions (whichever is lower) for five years, including a one-year moratorium.

To ensure a steady supply for fuel blending, cooperative sugar mills availing benefits under this scheme must commit to supplying at least 75% of their ethanol production from their converted plants to Oil Marketing Companies (OMCs) for petrol blending.

The scheme aligns with the government’s broader goal of boosting ethanol production, reducing dependence on fossil fuels, and improving financial stability in the sugar sector. By incentivizing multi-feedstock ethanol production, the initiative is expected to strengthen India’s biofuel economy and support farmers. READ MORE

Excerpt from Indian Express: With sugarcane being infamous as a water-guzzling cash crop, Shah made an appeal to the farmers to save water. “The initiative to save water was spearheaded by Gujarat. We built 1.5 lakh check dams. I appeal to sugarcane farmers to join with IPL and district cooperative banks to adopt drip irrigation. While the cooperative leaders are here, I want to tell them that [Prime Minister] Narendra Modi has fulfilled his promise. Now, it is on all of us to adopt drip irrigation and save water,” he said. READ MORE