Oil Marketing Companies (OMCs) have issued a tender seeking bids for the supply of approximately 1,050 crore litres of Denatured Anhydrous Ethanol for the first cycle of the Ethanol Supply Year (ESY) 2025-26.
According to the tender document, interested bidders must submit ethanol supply quantities in kilolitres (KL), categorized by feedstock and specified on a quarterly basis, for the period from November 1, 2025, to October 31, 2026. The validity of bids will be till 31-07-2026. Q1 quantity bid is being split into two parts i.e. Q1 (Nov.25) and Q1 (Dec.25 & Jan.26).
This tender is open to registered bidders in line with the long-term ethanol procurement policy, and the allocated quantities will be purchased at ethanol prices prevailing during the ESY 2025-26, as determined by either the OMCs or the Government of India.
OMCs are sourcing ethanol produced from a range of feedstocks, including sugarcane juice, sugar, sugar syrup, B-heavy molasses, C-heavy molasses, damaged food grains, surplus rice from the Food Corporation of India (FCI), and maize. Bidders are required to quote their total offered quantity under the appropriate feedstock and corresponding period.
For the purpose of allocation, the tender divides regions into specific zones:
- All eight Northeastern states
- Punjab and Chandigarh
- Tamil Nadu and Puducherry
- Gujarat along with Dadra & Nagar Haveli and Daman & Diu
- Jammu & Kashmir and Ladakh
All other states and union territories are classified as standalone zones.
If the total quantity offered for a particular quarter falls short of the OMCs’ requirement for that period, the full quantity offered by vendors will be considered for allocation. In such cases, the cluster-wise requirements will be proportionally reduced to ensure a uniform allocation percentage across all locations nationwide.
Sugarcane based feedstocks
For ESY 2025-26 i.e. for the period 01.11.2025 to 31.10.2026, OMCs shall procure ethanol sourced from Sugarcane Juice/Sugar/Sugar Syrup, B-Heavy Molasses and C-Heavy Molasses at the prevailing rates for ESY 2024-25 till such time these rates are revised by OMCs / Govt. of India. The applicable rates of ethanol for ESY24-25 are as follows:
Grain based feedstocks
For ESY 2025-26 i.e. for the period 01.11.2025 to 31.10.2026, OMCs shall
procure ethanol sourced from Damaged Food Grains, Surplus Rice sourced from
FCI and Maize at the following rates:
While speaking to Bioenergy Times, Arushi Jain, Jt. Secretary, Grain Ethanol Manufacturers Association (GEMA) said, “Mandatory 40% FCI of grain for Q1/Q2/Q3 supplies will keep rates of grain in control. Revision in FCI Ethanol price is to the extent of 3.11%, which is corresponding to increase in rate of surplus rice for ethanol from FCI.”
Click here to read the tender documents
