Ethanol Saved Sugarcane Farmers and Revived the Sugar Industry in Maharashtra: Nitin Gadkari

Union Minister Nitin Gadkari emphasized that ethanol has played a crucial role in protecting sugarcane farmers and preventing sugar mills from closing in Maharashtra. Ethanol production also boosted corn prices, benefiting farmers.

Sep 15, 2025 - 09:33
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Ethanol Saved Sugarcane Farmers and Revived the Sugar Industry in Maharashtra: Nitin Gadkari
Union Minister Nitin Gadkari addressing farmers and industry representatives, highlighting the importance of ethanol in reviving Maharashtra’s sugar industry.

The sugar industry in Maharashtra has faced years of financial instability due to low sugar prices, rising production costs, and delayed payments to farmers. Many sugar mills were on the brink of closure, creating uncertainty for lakhs of sugarcane growers. Against this backdrop, ethanol production emerged as a game-changing solution for both farmers and mill owners.

Union Minister Nitin Gadkari, during his address, highlighted that ethanol has not only saved sugarcane farmers from financial distress but also ensured that sugar mills remain operational. He emphasized that the shift toward ethanol blending with petrol provided a steady income stream for the sugar industry, reducing dependence on volatile sugar prices.

Gadkari also pointed out that ethanol production has created new opportunities for farmers beyond sugarcane. Corn-based ethanol production has significantly increased demand for corn, resulting in a price rise of more than double. This has motivated farmers to diversify and gain additional income sources apart from sugarcane cultivation.

The government’s ethanol blending program has also supported India’s energy security goals. By mixing ethanol with petrol, the country reduces its crude oil import bill while ensuring better returns for farmers. Maharashtra, being the top sugar-producing state, has reaped the maximum benefits from this policy shift, with mills finding a new economic lifeline.

Experts believe that long-term investment in ethanol production and diversified feedstocks will ensure stability for the agricultural economy. As Gadkari noted, ethanol has not only revived the sugar industry but has also become a pillar for rural prosperity and sustainable farming practices in Maharashtra.