Now Reading: UP Congress chief seeks PM’s clarity on sugar import, E20 fuel
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UP Congress chief seeks PM’s clarity on sugar import, E20 fuel
Uttar Pradesh Congress president Ajay Rai has written to Prime Minister Narendra Modi, seeking clarity on the government's sugar import policy and the impact of the E20 ethanol blending programme. Rai's letter,…
Uttar Pradesh Congress president Ajay Rai has written to Prime Minister Narendra Modi, seeking clarity on the government's sugar import policy and the impact of the E20 ethanol blending programme. Rai's letter, shared with media on Tuesday, points to the government's recent decision to allow duty-free import of 1 million tonnes of raw sugar for the first time in nearly a decade.
Rai argued that the ethanol policy's aim of reducing petroleum imports and strengthening energy security is undermined if sugar imports become necessary due to domestic shortages. He noted that ethanol blending in petrol reached 19.24% in 2024-25, moving towards the 20% target. Rai demanded that the government make public the real accounts of ethanol, sugar production, domestic prices, and imports.
Rai had earlier sent a letter on July 7 calling for an independent review of the E20, E85, and E100 policies, their economic impact, and consumer protection. The party is awaiting a response from the Prime Minister's Office.
Indian Opinion Analysis
The Congress is seizing on a tension inherent in the ethanol roadmap: diverting sugarcane for fuel can shrink sugar supply and push up prices. India's sugar output has been volatile in recent years, and the 2024-25 season's deficit forced the government to allow duty-free imports for the first time since 2017. The real numbers to watch are the domestic sugar production estimate for the current crushing season, expected from the Indian Sugar Mills Association, and the next retail inflation print for sugar, which will tell whether the import is enough to cool prices before the festival season. Rai's letter also puts pressure on the government just ahead of key state elections, where rural voters and sugar farmers matter.
Source: hindustantimes.com
This story was synthesised by AI from the source linked above.
