Gadkari urges sugar producers to diversify operations amid surplus production

New Delhi: Union Minister Nitin Gadkari on Thursday urged sugar producers to diversify their operations and explore ethanol-diesel blending and green hydrogen production in view of surplus sugar production in the country.

Addressing ISMA's 'The Indian Sugar & Bio-Energy Conference 2025', Gadkari said there is also a need to focus on the production of sugar allied products.

PSU Watch is now on Whatsapp Channels. Click here to join

"India produces more sugar than its requirement...and if sugar production also increases in Brazil, then surplus sugar production will create problems in India also," he said.

Gadkari noted that the production cost of sugar is now almost the same as its market price.

"Now there is no alternative to reduce production of sugar in India as in the coming days surplus sugar production will create a big problem in the country," Gadkari said.

The road transport and highways minister noted that India is spending Rs 22 lakh crore for importing fossil fuels, and due to that, "we are facing a problem of pollution".

"If India wants to become Atmanirbhar, then it will have to reduce import of fossil fuels and focus on increasing production of bioCNG and ethanol-blended petrol as alternatives to fossil fuels," he said.

Gadkari said farmers should not only be recognized as 'annadata' or food producers, but also as 'urjadata' or energy producers. He also mentioned that after farmers started producing ethanol from corn, the prices of the crop have increased, going up to Rs 2,800 per quintal from Rs 1,200 per quintal earlier.

Ethanol can be produced from broken rice and sugarcane.

Gadkari said his aim is to make India's automobile industry number one in the world within five years.

"Within five years, our target is to make India's automobile industry the number 1 in the world … When I took charge as transport minister, the size of the Indian automobile industry was Rs 14 lakh crore. The size of the Indian automobile industry now is Rs 22 lakh crore," he said.

Presently, the size of the US automobile industry is Rs 78 lakh crore, followed by China (Rs 47 lakh crore) and India (Rs 22 lakh crore).

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)