India continues to be a large export market for U.S. ethanol, coming in as the second-largest market during the 2020/2021 marketing year. Though it only imports ethanol for industrial uses, the country represented nearly 12 percent of all U.S. ethanol exports.
This year was an important one for the Council in India. The opening of a physical USGC office in the country was approved by the Indian government, which will enhance the ability of Council members and staff to interact with industry representatives on the ground to promote the use of U.S. ethanol.
Looking toward that future, the U.S.-India Biofuels Task Force was launched this year. The task force focuses on moving away from fossil fuels use in the country and will assist in expanding biofuels sources while providing strategic opportunity for India to promote clean energy. The Council sees the task force as a step in building on the strength of the existing U.S.-India relationship, with an eye on energy transition and cooperation.
The Council also undertook several studies over the past year to assess India’s future market opportunities for fuel ethanol. One study concluded that growing ethanol use in country has been linked to increased demand for sanitation products during COVID-19, more ambitious ethanol blending targets – now 20 percent by 2023 – and interest from Indian companies in sustainability through bio-based products.
Another study focused primarily on global vehicles’ ethanol blend compatibility, looking specifically at motorcycles and scooters in India. The study found that vehicles in the country are highly likely to be compatible with E10, while motorcycles and scooters have full compatibility with E10, and many are also compatible with E15. The Council plans to present the study to policymakers and stakeholders as part of its 2022 programming.