Govt allows 2G ethanol exports with authorisation, certification: DGFT

The Directorate General of Foreign Trade ( DGFT) on Wednesday updated India’s export rules to allow Second Generation (2G) ethanol to be exported.

2G ethanol is made from non-food materials like bagasse, wood waste, agricultural residues, grasses, algae, and other renewable resources. It is considered eco-friendly as it produces low CO2 emissions and does not compete with food crops for land.

The export will be allowed only if companies have a valid Export Authorisation and feedstock certificate from the relevant authority. The policy applies to ethanol under ITC(HS) Code 22072000, which covers ethyl alcohol and other denatured spirits of any strength.

The DGFT notification comes into immediate effect, adding an additional export condition for Second Generation ethanol under Schedule-II of the ITC (HS) 2022.