The Central Government is considering an increase in the Minimum Selling Price (Sugar MSP) of ethanol and sugar for the financial year 2024-2025. Union Food Minister Prahlad Joshi said on Thursday that the proposal to increase the price of ethanol is under consideration of the government. Along with this, the Petroleum Ministry is also reviewing this matter.
Also considered to increase sugar MSP
Speaking to reporters during an event, the Union Minister also said that the government is also considering the proposal to increase the minimum selling price of sugar. Let us tell you that there has been no change in the sugar MSP since the price of ₹ 31 per kg was fixed in February 2019.
Steps towards providing relief to sugar mills
At present, the price of ethanol made from sugarcane juice is ₹ 65.61 per liter, while the price of ethanol made from B-heavy molasses is ₹ 60.73 per liter and the price of ethanol made from C-heavy molasses is ₹ 56.28 per liter.
Regarding sugar production, the Union Minister has expressed hope that good production can be seen in the season of 2024-25. He believes that this is possible due to better monsoon. These price increases will give a boost to India’s ethanol blending initiative and provide much needed relief to the sugar sector. For information, let us tell you that at present the Government of India has approved mixing of 20% ethanol in petrol. In such a situation, petrol may also become expensive due to increase in the price of ethanol.
improvement in sugarcane sowing
At the same time, according to the data released by the Agriculture Ministry on September 23, this time the area under sowing of sugarcane is more than last year and the normal level. According to the data, this time sugarcane has been sown in 57.68 lakh hectare area. Whereas last year this figure was 57.11 lakh hectares and the average area between 2018-19 to 2022-23 was 51.15 lakh hectares.
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