Sugar stocks rally after India approves ethanol production from sugarcane products

E I D-Parry (India)

02/09/2025 05:29

** Shares of sugar companies rally after India allows production of ethanol from sugarcane juice, syrup, and all types of molasses

** Starting November 1, sugar mills and distilleries are allowed to produce ethanol without any quantitative restriction

** Shree Renuka Sugars SRES.NS and Dhampur Mills DAMS.NS rise the most to 12% and 10%, respectively

** Avadh Sugar AVAD.NS, Bajaj Hindusthan Sugar BJHN.NS climb ~8% each

** Balram Chini Mills BACH.NS rises 6.5%

** EID-Parry EIDP.NS up 1.7%, Dalmia Bharat DALB.NS trades flat

** Government to periodically review sugar diversion to ethanol to ensure year-round domestic availability

** India restricted production in the current marketing year because of a drop in sugarcane supplies

(Reporting by Urvi Dugar)

((UrviManoj.Dugar@thomsonreuters.com;))