The ethanol production in the current sugarcane crushing season (2022-23) has hit the billion litre (bl) mark and is counting. At present the sugarcane area and sugarcane output is estimated at 2.85 million hectares and 235 mt respectively.
“Rising ethanol production is helping the sugar mills in making faster payments to farmers,” said Additional Chief Secretary (sugarcane and excise) Sanjay Bhoosreddy.
The mills have settled nearly 75 per cent of their cane arrears in the current season, he added.
Uttar Pradesh is the country’s biggest ethanol producer. A sugar by-product, ethanol is used for a variety of purposes ranging from mixing in fossil fuel to pharmaceutical and chemical industries. The state has about 85 operational ethanol distilleries, while the annual capacity is estimated at 2.45 bl.
Sources say the UP distilleries have already received ethanol orders to the tune of 1.58 bl, thereby implying that the seasonal production would match the same and go further up based on prospective orders.
Ethanol produced in the state is exported to oil marketing company depots, both within and outside the state, for the Centre mandated 10 per cent blending in fuel. UP sugar production has crossed the one crore MT mark and is expected to exceed 1.10 crore MT by the time the state’s crushing operations conclude by the end of this month.
At present, about 49 of the total 120 sugar mills in UP are crushing sugarcane, while the remaining have closed for the season. Of the total 120 mills, the private sector leads the tally with 93 plants, followed by the cooperative sector with 24 units and UP State Sugar Corporation with three units.
UP has 75 distilleries with a production capacity of 2.49 crore litres per annum. UP is the largest producer of ethanol in the country. Establishment of 17 new distillery units is underway and new units are expected to be commissioned by the end of 2024.
Meanwhile, the UP Sugar Mills Association has joined hands with the World Bank to promote micro irrigation. The World Bank-supported Water Resources Group will develop a sustainable micro-irrigation model for the benefit of sugarcane farmers in 38 districts of the state.