The molasses-based ethanol manufacturing plant, with an installed capacity of 60 kilo litres per day, has been set up near Simbaolis Brijnathpur sugar plant. The project has been completed at a cost of over Rs 40 crore. The company is already supplying over 12 million litres of ethanol to oil majors such as Indian Oil and BPCL in various states including Uttar Pradesh. Currently, the company draws 60%-65% of its annual revenue from the sugar business, while the rest is from ethanol and co-generation.
The diversification towards ethanol is part of a Rs 480- crore growth plan chalked out by Simbaoli Sugar which was started in 2004-05. India produces around 800 million litres of sugar-based ethanol, while the demand is at around 600 million litres.