Indian State Oil Refiners Seek One Year of Ethanol Supplies

India’s three biggest state-owned refiners are seeking one year’s supply of ethanol, used in the production of cleaner-burning transport fuels.

Indian Oil Corp., Bharat Petroleum Corp., and Hindustan Petroleum Corp. want to arrange cargoes for 12 months starting Sept. 1 of ethanol produced from biomass, including sugarcane, corn, cassava, bagasse and other agricultural waste, according to an advertisement in today’s Economic Times.

Suppliers must submit bids by 2:30 p.m. local time on Aug. 18, the companies said, without specifying quantities. The tender document wasn’t immediately available on the refiners’ websites.

The government has ordered the oil companies to blend gasoline with 5 percent of ethanol. They’ve been hampered in efforts to meet that goal due to shortages because sugar mills prefer to supply the liquor, chemical and other industries where they can earn higher prices.

--Editors: John Viljoen, Ryan Woo.

source: businessweek