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India in talks with Nepal for ethanol exports, exploring shipments to SAARC nations

May 2, 2026

New Delhi: India is in talks with Nepal for ethanol exports and is also exploring opportunities to supply ethanol to SAARC nations, CK Jain, President of the Grains Ethanol Manufacturers Association of India (GEMA), told ANI.

"Our GEMA delegation went to Nepal two days ago. We just heard that Nepal wants to start 10 per cent blending. We suggested that till their domestic industry is set up, they can start taking from India," Jain said. Countries like Nepal currently lack sufficient feedstock and processing infrastructure, making India a natural supplier in the interim.

But the Indian government does not allow export of 1G ethanol as of now. Once these countries come forward, the government may also think of allowing it, he said, adding that "We are working on it to export to SAARC countries so that farmers will get benefited. As much as ethanol is made, rural economy will grow."

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