India: Biofuels Annual

India’s average ethanol blending rate with petroleum for calendar year 2022 is estimated at 9.3 percent. India’s position as a structural surplus sugar producer and gradual utilization of alternative feedstocks will drive supply, while a 35 percent increase in offtakes by parastatal oil marketing companies for ethanol blending will drive demand. Continued industrial grade ethanol demand will result in approximately 635 million liters of imports, nearly all from the United States. By contrast, India’s biodiesel market remains devastatingly limited owing to high feedstock prices and plant closures. India’s National Biofuels Policy, amended in May 2022, reinforces initiatives to boost domestic production of ethanol and accelerate efforts toward attaining blending targets.