Sugar mills again allege OMCs differentiating in ethanol purchase tie-ups

The OMCs, on their part, according to earlier reports, said that there is no preference in awarding contracts for supply of ethanol

The sugar industry has once again alleged that Oil Marketing Companies (OMCs) are hesitating in entering into long-term ethanol purchase contracts with established sugar firms and those who do not become part of the concessional loan scheme of the Central government.

The millers, in a letter written few days back to the Union food and petroleum secretaries said that unless OMCs alter their purchase plans, the significant investments put in by sugar companies in increasing their ethanol manufacturing capacities will come into question which in turn can impact the 20 per cent blending target by 2025.

The OMCs, on their