50pc export duty imposed on molasses to boost supply for ethanol production
The government has imposed 50 per cent export duty on molasses - a by-product of sugarcane and key ingredient for ethanol production - amid likely decline in sugar production in the current season.The order will come into force from January 18, a finance ministry notification said.
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The government has imposed 50 per cent export duty on molasses - a by-product of sugarcane and key ingredient for ethanol production - amid likely decline in sugar production in the current season.The order will come into force from January 18, a finance ministry notification said.
ISMA hails govt’s decision on molasses
Sugar body ISMA has welcomed the government’s order to levy 50 per cent export duty on ‘Molasses resulting from the extraction or refining of sugar’.
The India Sugar & Bio-energy Manufacturers Association said every year around 15-16 lac tons of molasses is exported, which accounts for almost 10 per cent of the total quantity of molasses produced. In ethanol terms, this molasses is worth around 38 crore ltr of ethanol.
According to ISMA President M Prabhakar Rao, “We had requested the government to completely stop the export of molasses with immediate effect as that will add to the country’s ethanol production, thereby reducing dependence on other feed stocks to some extent. In light of this, the move to levy 50 per cent export duty on molasses resulting from the extraction or refining of sugar is very welcome”.
Rao requested the government to consider increase in the procurement price of ethanol made from Sugarcane syrup/juice, B-Heavy Molasses and C-Heavy Molasses feed stocks by at least Rs.10/- per ltr for ESY 2023-24.