5 Sugar shares may hit the upper circuit on Monday: Sugar mills get approval to make ethanol from sugarcane juice and molasses

New Delhi: The government on Friday allowed sugar mills to use both sugarcane juice and B-heavy molasses to make ethanol in the supply year 2023-24, but fixed the maximum limit of sugar given for this at 17 lakh tonnes. Has been. The government has taken this decision a week after banning the use of sugarcane juice and sugar molasses to make ethanol. The industry was demanding the withdrawal of this decision. “Sugar mills will be given the option to use both sugarcane juice and B-heavy molasses within the total limit of 17 lakh tonnes of sugar for ethanol production in the supply year 2023-24 (November-October),” Union Food Secretary Sanjeev Chopra said. Has been given.”

He said a committee of ministers decided during its meeting on Friday. The Committee of Ministers took this decision after considering the demands received from the industry regarding the withdrawal of the ban imposed last week. On December 7, the government banned the use of sugarcane juice and sugar syrup in ethanol production with immediate effect. However, permission was given to supply ethanol for the existing proposals received from Oil Marketing Companies (OMCs). “We are working on modalities to decide on the ratio of sugarcane juice and B-heavy molasses used in making ethanol,” Chopra said. He said that some ethanol has already been made from sugarcane juice in the current supply year.

Another Food Ministry official said that before the previous order was issued, about six lakh tonnes of ethanol had been made from sugarcane juice. The government estimates that the country’s sugar production will decline to 32-33 million tonnes in the sugar season 2023-24, whereas in the last crushing season it was more than 37 million tonnes. The reason behind the forecast decline in sugar production is the possibility of reduced sugarcane yield. Keeping this in mind, the government had last week stopped the use of sugarcane juice and molasses in ethanol production. Also, read this.

5 Sugar shares may hit the upper circuit on Monday:

Sugar shares revenue mainly depends on ethanol production. Now. government allowed sugar share companies to use sugar juice for the production of ethanol. These 5 sugar shares may hit the upper circuit on Monday.

1. Balrampur Chini
2. Praj Industries
3. Sh. Renuka sugar
4. Dhampur Sugar
5. Eid Parry