The government disputes how much the policy is to blame.
It says the share of cane diverted to ethanol has fallen from 12% in 2022-23 to around 9% in 2025-26, and argues that weak production, hoarding and tighter global supplies are behind the sugar price surge.
The government disputes how much the policy is to blame. It says the share of cane diverted to ethanol has fallen from 12% in 2022-23 to around 9% in 2025-26, and argues that weak production, hoarding and tighter global supplies are behind the sugar price surge.