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Sugaronline South Asia Sugar & Ethanol Report – 17th September 2025

By Ritesh Kumar Singh

18th September 2025

Given the increasing share of grain-based feedstocks for the production of ethanol, the Indian sugar industry is likely to have a strong sugar bias in its product mix. However, with higher sugar output expected in the next cane-crushing season and domestic consumption remaining stagnant, the industry will need to rely more on exports to absorb its surplus.

The Indian government has been encouraging the setting up of dual-feedstock distilleries, that can easily switch from cane-based feedstocks to grain-based feedstocks, for quite some time. This aligns with government policy—which may include imposing restrictions on feedstock use to discourage ethanol diversion, especially during sugar supply shortages—and also enables the industry to use cheaper feedstocks

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