Sugar Industry

News: Indian Oil and two domestic engine makers are actively working on 5% ethanol blending in diesel. Ethanol blending in diesel is important as it is the most used fuel in the transportation sector across the country The 5% ethanol blending in diesel would create additional 750 crore litre of ethanol demand. This would result in further capacity expansion by sugar companies either in molasses-based distillery or grain-based distillery. Ethanol capacity addition is positive for long term growth prospects