Surplus Grains Only: Centre Defends Ethanol Blending Policy Against Rice Diversion Claims
Official figures revealed that rice accounted for zero point zero two percent of ethanol output in previous cycles.
The Centre defended the Ethanol Blended Petrol Programme on Friday, stating that the policy strengthens national energy security without compromising food security. Official statements rejected claims that subsidized foodgrains meant for vulnerable households were diverted to fuel distilleries at taxpayers expense.
Government officials clarified that state procurement prioritizes the Public Distribution System, National Food Security Act, welfare schemes, and mandatory buffer stocks. Only certified surplus stocks, alongside broken rice and damaged grains unfit for human consumption, are approved for ethanol processing to prevent agricultural storage waste.
Addressing the Food Corporation of India rice allocation, the government noted that rice represents one of several approved feedstocks under standard pricing rules. Maize receives the highest procurement rate at seventy one rupees eighty six paise per litre, whereas rice ethanol is priced lower at sixty rupees thirty two paise.
Official figures revealed that rice accounted for zero point zero two percent of ethanol output in previous cycles. Its share reached twenty four point sixty four percent recently after surplus availability increased, while maize share declined from forty two point six to thirty five percent.
The ministry highlighted that twenty percent ethanol blending cushioned domestic consumers against volatile crude oil spikes, preventing Delhi petrol prices from hitting projected peaks of one hundred twenty five rupees per litre while saving over one lakh ninety seven thousand crore rupees in foreign exchange.