India’s Sugar Sector Sweetens to ₹1.3 Lakh Crore Industry, Powers Rural Prosperity and Energy Security

India’s sugar industry has transformed into a ₹1.3 lakh crore powerhouse, driving rural development and strengthening the country’s energy independence, Union Food Minister Pralhad Joshi announced at the Cooperative Sugar Industry Conclave 2025 and the National Efficiency Award Ceremony.

“Under the leadership of Prime Minister Narendra Modi, India’s sugar sector has evolved into a ₹1.3 lakh crore industry annually, championing rural prosperity, energy security, and green fuel through record ethanol blending and strides towards fuel self-reliance,” Joshi said in a social media post on Thursday.

Organised by the National Federation of Cooperative Sugar Factories Limited (NFCSF), the event highlighted the sector’s evolution, which has been propelled by bold policy reforms and technological advancements. NFCSF, established in 1960, represents cooperative sugar factories and state federations across India.

India’s ethanol production capacity has surged more than fourfold in the last 11 years, reaching 1,810 crore litres annually. This has enabled ethanol blending in petrol to rise from a modest 1.53% in 2013 to nearly 19% in 2025, a milestone that has helped the country save over ₹1.10 lakh crore in foreign exchange, according to senior government officials.

Beyond energy savings, the ethanol push has brought direct benefits to farmers, especially those engaged in sugarcane and foodgrain cultivation. The minister noted that this transformation is contributing to a “sustainable, self-reliant future” for India.

The conclave served as a platform to celebrate efficiency and innovation within the cooperative sugar industry, reinforcing its role as a vital pillar of India’s agrarian economy and green fuel roadmap.