August 8, 2026: India has not offered any concessions or commitments to the US on ethanol imports for fuel blending in the ongoing bilateral trade negotiations, the Commerce Department said on Thursday. Further, no ethanol is being imported from the US for use in blending with fuel, it added.
“India’s fuel blending programme and ethanol procurement continues to be governed solely by India’s domestic policy requirements,” the statement asserted
The clarification comes amid controversy over the government’s push to make E20 — petrol blended with 20 per cent ethanol — the default fuel at retail outlets. Opponents have raised concerns about reduced fuel efficiency, potential compatibility issues for older vehicles, and the lack of consumer choice, while the government argues that the transition is necessary to improve energy security and reduce emissions.
In its statement, the Commerce Department maintained that any suggestion of a policy change to permit large-scale imports of fuel ethanol from the US was misleading. It refuted news reports that alleged that India was importing, or planned to import, large quantities of ethanol from the US for blending with petrol.
“As per the domestic policy framework, ethanol used for fuel blending under the Ethanol Blended with Petrol Programme is sourced entirely from domestic producers. There is no import of ethanol for fuel blending from the US,” it said.
(Source: Hindu Business Line)
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