India has utilized 3.9 million tonnes of Food Corporation of India (FCI) rice and 6.8 million tonnes of maize for ethanol production through June 2026, according to data cited by the Hindu Businessline.
The figures underscore the scale of the government's ethanol blending program, which aims to reduce dependence on imported crude oil while providing a market for surplus agricultural produce.
The minister emphasized that only surplus foodgrains, determined by the Department of Food & Public Distribution after meeting all food security requirements and maintaining prescribed buffer stocks, are permitted for diversion to the fuel sector.
This safeguard is designed to balance energy security goals with domestic food supply stability.
The substantial volume of grain converted into fuel reflects the accelerating pace of India's E20 ethanol blending initiative.
As blending targets rise, the demand for feedstock intensifies, creating a direct channel between agricultural output and energy markets.