India: Biofuels Annual

India’s 2021 average ethanol blending rate in gasoline is estimated at 7.5 percent due to curtailed fuel pools from the COVID-19 pandemic and accelerated government efforts to divert more feedstock toward ethanol. Surplus sugar production, coupled with stronger financial incentives for fuel blending, will enable parastatal oil marketing companies to procure an estimated 2.7 billion liters in calendar year (CY) 2021, a 56 percent increase from 2020. India’s strong demand for industrial grade ethanol will result in an estimated 750 million liters of imports, nearly all from the United States. As for biodiesel, the market remains limited owing to high feedstock prices and plant closures due to the pandemic, as India continues to develop the required infrastructure for used cooking oil.