The government has made some changes in the sale policy of FCI rice stocks for 2024-25, which is for ethanol production and other uses. Key highlights are:
- Fixed Reserve Price for Ethanol Production:
The reserve price of FCI rice for ethanol distilleries has been kept at Rs 2,800 per quintal, same for the whole country.
Only those distilleries will buy rice which are registered with OMCs (Oil Marketing Companies) for ethanol supply. Distilleries will have to show their signed contract and certificate.
- Process for Ethanol Production:
Distilleries can get rice allocated from the FCI depot of their choice, but the quantity will be as per the OMC contract.
OMCs will provide details of ethanol production to FCI every month.
- Other Rates for Rice Sale:
The reserve price of rice for private parties, cooperatives and state governments has also been fixed at Rs 2,800 per quintal.
The price of rice for community kitchens and Bharat brand retail outlets will be Rs 2,400 per quintal.
In August 2024, the government had removed the ban on rice sale on ethanol distilleries, but ethanol manufacturers were not interested in the earlier auctions due to high prices. Now with the new fixed prices the government has streamlined the policy.