E20 Programme Sparks Food Price Crisis in India

Sugar and egg prices in India have surged due to increased demand for ethanol production. The government's E20 programme aims to blend 20% ethanol with petrol, but it has been criticized for diverting subsidized rice meant for poor families to distilleries.

Molasses and rotten rice were earlier used to make ethanol, but the feedstock has now changed to include millets (corn) and even rice. This shift has driven up prices of sugar and eggs, making them unaffordable for many consumers.

The E20 programme is expected to increase the production of ethanol, which will be blended with petrol to reduce dependence on fossil fuels. However, critics argue that the programme is benefiting distilleries at the expense of poor families who rely on subsidized rice for their livelihood.