In recent years, maize has overtaken the traditional sugarcane-based feedstock to become the primary source of raw material for the ethanol production process in India.
The role of maize in India’s ethanol blending program has significantly strengthened during the ethanol supply year (ESY) 2024-25 (November-October), reflecting a clear shift in the feedstock dynamics. According to the latest data shared by the All India Distillers Association (AIDA), the trade body of ethanol, bio-energy and potable alcohol producers, maize emerged as the major raw material accounting for almost half of the total ethanol production, about 48 per cent, during the November-October cycle. This represents a significant increase from the 42.6 percent share recorded in the previous supply year.
In recent years, maize has overtaken the traditional sugarcane-based feedstock to become the primary source of raw material for the ethanol production process in the country. “Out of the total ethanol allocated for the current cycle, maize-based production has witnessed unprecedented growth, supported by favorable government policies and increased procurement prices (Rs 71.86 per liter for maize-based ethanol),” AIDA said in a statement.
It said the contribution of other grain sources including sugarcane juice, B-heavy jaggery and C-heavy jaggery as well as damaged food grains and surplus grains continue to provide a balanced feedstock mix.
strong speed
India’s ethanol supply program is showing strong momentum, with cumulative supply reaching approximately 1,039 crore liters against the contracted quantity of 1,163 crore litres, representing 89% fulfillment of the total.
Total grain-based feed stocks, including maize and rice, are 718 crore litres, contributing about 69 per cent of the ethanol supplied, up from 59 per cent in the previous year. Sugarcane-based feed stocks during 2024-25 stood at 321 crore liters or 31 per cent of the total quantity, down from 41 per cent in the previous year.
Vijendra Singh, President of AIDA, said, “The latest ethanol supply data reflects the growing maturity and resilience of India’s biofuels ecosystem. The increasing contribution of maize and other grain-based feedstocks is strengthening supply stability while reducing dependence on any one source. Now maize contributes about 50% of our feedstock, we have successfully decoupled ethanol production from the sugar cycle. This not only ensures a year-round supply of biofuels but also the maize It also gives huge boost to the farmers across the country.
Furthermore, Singh said, as India moves beyond E20, the transition is no longer constrained by supply, but by the ability to generate sustained and scalable demand. “AIDA has urged the government for a policy to go beyond E20 and explore ethanol-diesel and isobutanol blending to utilize the huge surplus capacity created by us,” he said.
foreign exchange savings
The cumulative capacity of the ethanol industry is around 2,000 crore litres, with more than 380 dedicated distilleries in operation and another 33 in the pipeline. India has already achieved 20 percent blending target in 2025.
AIDA said the shift to maize has helped stabilize the rural economy, ensuring that farmers get prices at or above the minimum support price (MSP). Furthermore, diversification reduces the industry’s sensitivity to monsoon-related fluctuations in sugarcane production. AIDA said that to date, the EBP program has saved more than ₹1,55,000 crore in foreign exchange and significantly reduced CO2 emissions.
Furthermore, AIDA emphasizes that with current production capacity expanding rapidly, the industry is ready to support higher blending mandates. The association is advocating promotion of flex-fuel vehicles (FFVs) and exploration of ethanol-diesel blends to absorb the growing surplus and further reduce India’s crude oil import bill.
Published on February 19, 2026
