India to soon allow automakers make ethanol-fuelled vehicles

India will soon allow automakers to manufacture vehicles running entirely on ethanol, Transport Minister Nitin Gadkari said on Wednesday, even as the country is struggling to source the sugarcane by-product for 10 % blending with gasoline.

Ethanol is a cleaner option as far as emissions are concerned, compared to gasoline.

"I've told my officials to expedite work on this so that I can announce this before January 26th. These vehicles can run entirely on ethanol but will also have an option of flex-fuel," Gadkari told a conference of sugar producers.

He said that India could take a leaf out of Brazil's book, as flexible-engine vehicles are very popular in the Latin American country.