Ethanol Production in World

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ECONOMICS OF ETHONOL PRODUCTION Fuel ethanol or anhydrous alcohol is produced by dehydration of rectified spirit or extra neutral alcohol. Ethanol used as part of the fuel, by blending with petrol, for a motor vehicle is called fuel-ethanol. Ethanol could be blended in various proportions in petrol. Ethanol is usually added 5 to 10% by volume of petrol for such application. In Brazil, ethanol is added 24% by volume in gasoline (petrol). Use of ethanol in place of tetraethyl lead or MTBE which acts as anti-knocking agents will prevent dangerous and poisonous emissions containing lead or MTBE from petrol. Many states in the US have been using 10% ethanol blend in gasoline (petrol) for use in their cars. Brazil has been using up to 24 % ethanol in petrol. Engines of cars do not need any change to use petrol with up to 24 % ethanol in it. Ethanol is also added to diesel. Usually, 3% by volume is added. Tests have been conducted satisfactorily with up to 10% by volume addition. Many states in the US have been using 10% ethanol blend in gasoline (petrol) for use in their cars. Brazil has been using up to 24 % ethanol in petrol. Engines of cars do not need any change to use petrol with up to 24 % ethanol in it. Fuel ethanol programs have now been initiated in countries like Australia, Nepal, Columbia, Poland, Sweden etc. Reduced oil imports, improved trade balance, reduced reliance on imported oil, increased ethanol production, more cane price to farmers, direct and indirect job opportunities, saving fossil fuels are some of the experiences. Economics of production of Ethanol in India Based on IIT’s analyses, the total cost of ethanol production from molasses works out to Rs. 15.36 per litre based on the assumption that the plant will produce 60,000 liters of ethanol per day. The yield of ethanol is 205 liters per ton of molasses at a landed price of Rs. 2100/ton.

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