Ethanol Industry Capable of Supplying Beyond the 20% Blending Limit

23-Mar-2026 04:01 PM

New Delhi. In light of the ongoing crisis in West Asia and the rising prices of crude oil, the All India Distillers Association has offered to supply the government with ethanol for blending with petrol in quantities exceeding the stipulated 20% limit. The Association asserts that this initiative will help reduce the country's dependence on crude oil imports.

In a letter addressed to the Union Minister of Road Transport and Highways, the Association noted that the target of blending 20% ​​ethanol with petrol has already been achieved ahead of schedule, and the industry is now fully prepared to supply even larger quantities of ethanol.

India has historically imported vast quantities of crude oil from countries in West Asia, the Middle East, and the Gulf region; however, the Iran-Israel conflict has begun to cause severe disruptions to these supplies.

Crude oil prices continue to rise due to the blockage of shipping routes through the Strait of Hormuz and attacks targeting various oil-producing and exporting nations.

Under these circumstances, allowing the use of more than 20% ethanol in petrol could provide significant relief to India. The greater the proportion of ethanol blended with petrol, the greater the potential reduction in imports.

In 2025, India successfully achieved its target of blending 20% ​​ethanol with petrol ahead of the scheduled deadline; nevertheless, the government has yet to announce an upward revision of this target.