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Ministry of Consumer Affairs Increases Domestic Ethanol Procurement Quotas from Agricultural Residue
Published: 2026-10-03 • 08:00 AM ISTAgriculture News
Central government increases second-generation (2G) bio-ethanol incentives, encouraging grain distilleries to purchase surplus agricultural residue.
The Department of Food and Public Distribution, Government of India, has notified revised procurement tariffs under the Ethanol Blended Petrol (EBP) Program, incentivizing 2G ethanol production from agricultural residue and damaged food grains.
Economic Impact on Farming Communities - Added Income from Crop Waste: Bio-refineries are establishing local collection centers in Maharashtra to purchase cotton stalks, soybean straw, and surplus broken grains, turning crop residue into cash revenue. - Stubble Burning Prevention: Financial compensation incentivizes farmers to harvest and sell straw rather than burning crop residue in the field.
Source & Publication Verification - Official Source: Department of Food and Public Distribution, Ministry of Consumer Affairs - Reference Portal: dfpd.gov.in - Publication Schedule: 03 October 2026, 08:00 AM IST
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