India Proposes Major Overhaul of Sugarcane Regulations, Invites Public Feedback
Govt overhauls six-decade-old sugarcane law; seeks comments on draft by May 20
News 18
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The Indian government has proposed a comprehensive update to the 1966 Sugarcane Control Order, introducing new regulations for ethanol production and digital compliance. The draft seeks public comments by May 20, aiming to modernize the sugarcane industry to reflect current practices and technologies.
- 01The proposed Sugarcane (Control) Order 2026 aims to replace the outdated 1966 Sugarcane Control Order.
- 02For the first time, ethanol production is integrated into the sugarcane regulatory framework.
- 03New regulations include a formal approval process for factories and digital compliance measures.
- 04The draft introduces stricter oversight for khandsari units amid concerns over sugar diversion.
- 05Public comments on the draft are invited until May 20, 2023.
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On April 22, 2023, the Indian government announced a significant overhaul of the 1966 Sugarcane Control Order, proposing the Sugarcane (Control) Order 2026. This new framework aims to modernize the sugarcane industry by integrating ethanol production into its regulatory structure for the first time. The draft maintains essential elements of the old law, such as Fair and Remunerative Price rules, while introducing new measures like a formal approval process for sugar factories and digital compliance for reporting. Notably, it establishes a conversion formula treating 600 litres of ethanol as equivalent to one tonne of sugar, encouraging the growth of standalone ethanol production. The draft also tightens regulations on khandsari units, addressing concerns over sugar diversion. Stakeholders, including industry representatives, are currently reviewing the draft and are expected to submit collective comments by the May 20 deadline.
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The proposed changes could enhance the efficiency and sustainability of India's sugarcane industry, potentially benefiting farmers and producers by modernizing regulations and promoting ethanol production.
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