The Government of India’s Ethanol Blended with Petrol (EBP) Programme targets a 20 percent ethanol blend in petrol by 2025, with nationwide distribution by Oil Marketing Companies (OMCs). To meet the rising demand, the plan includes a major increase in ethanol production capacity to 1,700 crore litres by 2025.
Here are three such Ethanol companies planning to expand their Ethanol production capacities:
Triveni Engineering & Industries Limited
Triveni Engineering & Industries Ltd is one of India’s largest sugar and ethanol producers. The company operates seven manufacturing plants in Uttar Pradesh, with a current ethanol production capacity of 1,100 kilolitres per day. Triveni’s diversified operations include sugar manufacturing, ethanol production, power generation, and water treatment solutions.
In the latest quarter, alcohol production reached a record 5.46 crore litres, up 8.3 percent from the previous period due to new production capacities. This alcohol production constituted 93 percent of ethanol production.
In July 2024, the company launched its Indian Made Foreign Liquor (IMFL) brands in Uttar Pradesh: The Crafters Stamp(Super Premium) and Matsya (Premium).
For Ethanol Supply Year 2023-24, oil marketing companies (OMCs) targeted 825 crore litres with a 15 percent blending goal. By June 30, 2024, they contracted 714 crore litres with 61 percent from sugarcane and 39 percent from grains. Of this, 401 crore litres were procured, with 53 percent from grains and 47 percent from sugarcane. The blending percentage achieved was 13 percent.
With a market capitalization of Rs.9,895 crore, Triveni Engineering’s stock price closed at Rs.452.05 on Friday, falling 0.32 percent from its previous close.
EID Parry (India) Limited
EID Parry (India) Ltd, part of the Murugappa Group, is a leading player in the Indian sugar and ethanol industry. Based in Chennai, the company operates six sugar plants and one standalone distillery across South India. EID Parry has a significant ethanol production capacity, contributing to the country’s renewable energy initiatives.
The company has expanded its ethanol production capacities with new facilities established in Haliyal, which will produce 120 kiloliters per day (KLPD) starting in the first quarter of FY25, and in Nellikuppam, with a capacity of 45 kiloliters per day (KLPD) beginning in the second quarter of FY25.
Together, these expansions will increase EID Parry’s ethanol production capacity by about 6.5 crore litres annually, helping the company to better meet the growing demand for ethanol as part of India’s Ethanol Blending Programme (EBP).
With a market capitalization of Rs.14,468 crore, EID Parry’s stock price closed at Rs.815 on Friday, inclining around 1 percent from its previous close.
Balrampur Chini Mills Limited
Balrampur Chini Mills Ltd is one of the largest sugar and ethanol producers in India. The company currently operates ten manufacturing units in Uttar Pradesh and has an existing capacity for the production of 1,050 KLPD of ethanol per day and plans to expand further.
The company has boosted its ethanol production capacity from 21.49 crore blended litres (Cr BL) in FY23 to 27.99 crore Cr BL in FY24. For Q1 FY25, production reached 7.18 crore Cr BL. Plans are in place to expand capacity to around 35 crore Cr BL by FY25, with full utilization expected at Balrampur for juice and B-heavy ethanol production.
This expansion will address growing ethanol demand, support the government’s 20 percent blending target by 2025, enhance revenue from renewable energy, and further sustainability goals with cleaner fuel alternatives.
With a market capitalization of Rs.11,443 crore, Balrampur Chini Mills’ stock price closed at Rs.567.2 on Friday, marking a 1.97 percent decrease from its previous close.
Written by – Siddesh S Raskar
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