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'Poor will be affected': India's ethanol plan sparks food security fears

Government argues that a new ethanol goal will help save billions of rupees by cutting crude imports, reduce carbon emissions and boost farmers' incomes.

Photo: Bloomberg
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India's government say a new ethanol goal will help save billions of rupees in fuel costs. (Photo: Bloomberg)

Bibhudatta Pradhan and Pratik Parija | Bloomberg
India’s ambitious plan to cut the use of fossil fuels by promoting ethanol derived from rice, corn and sugar is drawing criticism from some experts who warn the move could undermine food security in the world’s second-most populous country.

In June, Prime Minister Narendra Modi’s administration accelerated the nation’s ethanol goal by five years, seeking to double production and to have gasoline 20% blended with the spirit by 2025. To help meet the target, the government is offering financial assistance to biofuel producers and faster environmental clearances. The plan is also resulting in the diversion of food grains meant for

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