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Taxpayer Money Funding Rice to Ethanol: Who Really Benefits?

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News Analysis IndiaReporter
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August 25, 2026
07:31 AM
Taxpayer Money Funding Rice to Ethanol: Who Really Benefits?

Khadage warned that the current system effectively subsidises ethanol production using the public exchequer. The government bears the cost of buying, storing and moving the grain, only to sell it at a discount to ethanol companies, which later sell the fuel blend at higher prices. He demanded a transparent accounting of the economic, social and public‑interest impacts of converting edible rice into ethanol.

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