Financial Daily from THE HINDU group of publications
Saturday, Aug 27, 2005
Financial Daily from THE HINDU group of publications Saturday, Aug 27, 2005 |
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Agri-Biz & Commodities
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Foodgrains Industry & Economy - Non-conventional Energy Corporate - New Projects Ammana Bio sets up unit to make ethanol from sorghum Our Bureau
Hyderabad , Aug 26 ETHANOL supplier Ammana Bio Pharma Ltd has set up what it claims to be the country's first unit to derive ethanol from the grain crop sorghum (Sorghum bicolour), the sweet variety of which is used mainly as livestock fodder. The Executive Director of the company, Mr B.K. Murthy, said the total investment in the project was Rs 20 crore. It is expected to generate revenues of Rs 6 crore a year. In a press release, Mr Murthy said ethanol would be produced from sweet sorghum, which is also called `camel' among crops, owing to its wide adaptability and resistance to drought. Traditionally, ethanol or fuel alcohol is derived from molasses. The huge demand-supply gap has forced firms to look for innovative methods of producing ethanol. Sweet sorghum, unlike sugarcane, can be harvested in 100 days compared to the first cut of sugarcane, which requires 11 months. The company, which supplies ethanol to majors such as IOC, BPCL, RIL, HPCL, Ranbaxy, UB and McDowell, said the new unit would be self-supported with co-generation by using captive bagasse and press mud for achieving zero discharge of effluent. Mr Murthy said the company also planned to sell carbon credits since the unit qualifies under the clean development mechanism. Sweet sorghum is sown with seed and just 7.5 kg is enough for a hectare of land. Sugarcane is propagated from stem cuttings, and about 1,600 kg of cuttings are required per hectare. With a potential to make 7,000 litres of ethanol per hectare, sweet sorghum has high potential. The total demand is 5,000 lakh litres, while the existing production is only 1,840 lakh litres.
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