Govt may ask FCI to sell 1.5 MT broken rice for grain-based biodiesel units

Move to dispose of 1.5 mt of broken rice will partly address concern of grain-based distillery capacities remaining idle

The government may direct Food Corporation of India (FCI) to dispose of around 1.5 million tonnes (mt) of broken rice as feedstock for grain-based biofuel units. The measure will compensate for the projected drop in sugarcane production due to drought and excessive rainfall and will prove to be a milestone in the country’s food-for-fuel policy. 

Sources said the step would have twofold impact. First, it will address the concern of approximately 750 million litres of grain-based distillery capacities lying idle due to lack of feedstock, to some extent. Secondly, this will absorb some of the surplus rice lying with FCI,