Maize becomes India’s leading ethanol feedstock as supplies reach 515 crore litres

India supplied about 515 crore litres of ethanol in the first half of Ethanol Supply Year 2025-26, and maize emerged as the single largest feedstock for that volume. The Economic Times reported the figure using industry estimates and supply data compiled by the All India Distillers’ Association. For agriculture, the development matters because the biofuel market is increasingly influencing grain demand, storage investment, processing capacity and planting incentives.

Against a total contracted volume of 1,059 crore litres, the industry has already delivered nearly 49% in the first six months of the supply year. Grain-based distilleries contributed about 333 crore litres during that period. Within that pool, maize became the dominant feedstock at roughly 182 crore litres, while surplus rice and other surplus food grain contributed nearly 125 crore litres and damaged food grains supplied about 26 crore litres.

Industry experts cited in the report argue that maize is gaining because it offers a more diversified and scalable feedstock base. It is available through the year, is considered better aligned with higher blending targets in the future and requires substantially less water than some alternatives. In practical terms, that means fuel policy is now sending stronger demand signals back into crop production and post-harvest infrastructure.

Sugarcane-based distilleries still remain an important part of the system. They supplied nearly 182 crore litres during the same period, equal to around 62% of their contracted volumes. Within that category, sugarcane juice contributed about 130 crore litres, B-heavy molasses around 45 crore litres and C-heavy molasses close to 7 crore litres. The result is a more mixed ethanol feedstock structure in which both grain and sugar sectors are carrying significant weight.

Monthly supply figures also show the pace of expansion. Deliveries crossed roughly 102 crore litres in December 2025, nearly 95 crore litres in March 2026 and about 92 crore litres in April 2026. Analysts say the rising role of maize is likely to trigger fresh investment in grain storage, rural supply chains, ethanol capacity and agri-processing infrastructure across several states. The feedstock shift is therefore becoming a capital investment story, not just a blending statistic.

For India’s farm economy, the implications are broad. Stronger maize demand can support prices and encourage production, but deeper integration of grain into the fuel market also raises questions about balance between energy, feed and food uses. That is why maize’s rise to the top of India’s ethanol mix is more than a biofuel headline: it is a marker of structural change across the country’s grain, processing and rural market system.

Agronom.Info