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Indian Gasohol to pump in Rs 136 billion in Bihar Edit
 
Title
Indian Gasohol to pump in Rs 136 billion in Bihar
Source
Business Standard
Date 2007-01-09
Description
At a time when big sugar companies such as Dhampur and Rajshree are looking to delay their investment in Bihar, Tamil Nadu-based Indian Gasohol Ltd has proposed to pump in Rs 1,35,570 million in the state over the next 3-4 years. The state cabinet has reportedly given its approval to the proposal. The company would set up 10 distilleries for producing ethanol from sugarcane with a combined capacity of 54 lakh tonne annually. Each unit will have a crushing capacity of 25,000 tcd (tonne crushed daily). The company does not plan to produce here as sugarcane juice will be directly used in the manufacture of ethanol. This will be a new trend as most of the Indian companies produce ethanol from molasses, a by-product from sugar production. The work is expected to start this year. By the time all the units go on stream, the country is expected to witness significant demand for ethanol as a result of the government's plan to blend petrol with five per cent ethanol.