by The India ethanol market caters products such as potable and extra neutral alcohol ENA (Ethanol), Rectified spirit, natural/chemical ethanol for applications in alcoholic beverages, pharmaceuticals, cosmetics, chemicals etc. Ethanol is gaining increased usage as a biofuel and has become an alternative fuel for gasoline in vehicles to reduce greenhouse gas emissions. The India ethanol market is dominated by product such as denatured ethanol while the revenue contribution by ENA is witnessing a surge owing to its usage in biofuels.
India Ethanol Market Size is estimated to be valued at US$ 2.43 Bn in 2024 and is expected to exhibit a CAGR of 15. % over the forecast period 2024-2031.
Key Takeaways
Key players operating in the India ethanol market are Piccadily Sugar & Allied Industries Ltd., Thiru Arooran Sugars Ltd., Ugar Sugar Works Ltd., Dhampure Speciality Sugars Ltd., Praj Industries, Triveni Engineering & Industries Ltd, E.I.D. Parry (India) Ltd., DCM Shriram Ltd., Mawana Sugars Ltd., Uttam Sugar Mills Ltd., Kothari Sugars And Chemicals Ltd., Avadh Sugar & Energy Ltd., The Ugar Sugar Works Ltd., Dwarikesh Sugar Industries Ltd., K.M.Sugar Mills Ltd., Shree Renuka Sugars, Balrampur Chini Mills Ltd., Bajaj Hindusthan Sugar Ltd., Dalmia Bharat Sugar and Industries Ltd., Dhampur Sugar Mills Ltd.
The growing demand for fuel ethanol from automobile industry due to various government policies promoting ethanol blending in gasoline is one of the major factors driving the growth of India ethanol market. Also, increasing global expansion through exports is another key trend in the market.
Market Key Trends
One of the key trends in India ethanol market is the rising government support through various policies encouraging ethanol blending with gasoline. The government has continuously increased the blending percentage target from 5% initially to 20% by 2025 which is fueling investments in new distilleries as well as capacity expansions. This is positively impacting the growth of ethanol demand in the country.
Porter’s Analysis
Threat Of New Entrants: The threat of new entrants is moderate as setting up an ethanol manufacturing plant requires substantial capital investment and dealing with established organized players. However, favorable government policies are encouraging new investments.
Bargaining Power Of Buyers: The bargaining power of buyers is moderate. Buyers can choose from multiple ethanol producers but producers can also shift supplies among different buyers based on better terms.
Bargaining Power Of Suppliers: The bargaining power of suppliers is low as ethanol producers can source feedstock like sugarcane molasses and grain from various alternative suppliers.
Threat Of New Substitutes: The threat of new substitutes is low as ethanol is uniquely positioned as a biofuel and blending component.
Competitive Rivalry: The competitive rivalry is high due to presence of several large and small organized players. Players compete on pricing, quality, reliability of supplies and branding.
Geographical Regions: Currently, nearly 70% of the India ethanol market value is concentrated in the western and northern states of Maharashtra, Karnataka, Uttar Pradesh, Gujarat and Haryana due to abundance of sugarcane fields and established ethanol production clusters in these regions.
The southern states of Andhra Pradesh, Telangana and Tamil Nadu are expected to emerge as the fastest growing regions for the India ethanol market during the forecast period. This is because of growing molasses-based distilleries and planned grain-based distilleries in these states supported by government initiatives.
What Are The Key Data Covered In This India Ethanol Market Report?
:- Market CAGR throughout the predicted period
:- Comprehensive information on the aspects that will drive the India Ethanol’s growth between 2024 and 2031.
:- Accurate calculation of the size of the India Ethanol and its contribution to the market, with emphasis on the parent market
:- Realistic forecasts of future trends and changes in consumer behaviour
:- India Ethanol Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa
:- A complete examination of the market’s competitive landscape, as well as extensive information on vendors
:- Detailed examination of the factors that will impede the expansion of India Ethanol vendors
FAQ’s
Q.1 What are the main factors influencing the India Ethanol?
Q.2 Which companies are the major sources in this industry?
Q.3 What are the market’s opportunities, risks, and general structure?
Q.4 Which of the top India Ethanol companies compare in terms of sales, revenue, and prices?
Q.5 Which businesses serve as the India Ethanol’s distributors, traders, and dealers?
Q.6 How are market types and applications and deals, revenue, and value explored?
Q.7 What does a business area’s assessment of agreements, income, and value implicate?
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
