Indian government has introduced differential pricing for ethanol produced by distilleries from B-Heavy molasses. Now, the B-Heavy molasses is used to extract the residue sugar and is expected to be used to produce ethanol. The price for ethanol conventionally produced from C-Heavy molasses, a by-product of sugar production, is increased to ₹43.70 a litre from ₹ 40.85 for supply to oil companies for blending with automobile fuel. The government has also increased the price of ethanol produced from B-Heavy molasses.
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