Government Notifies Stricter Rules for Export of Second-Generation Ethanol

New Delhi, September 24, 2025 – New policy terms for exporting second-generation (2G) ethanol were notified by the government, allowing export through both fuel and non-fuel routes but with stricter compliance norms.

Export Policy Update

The 2G Ethanol export under HS Code 22072000 remains restricted. These are also no longer cleared except through legitimate authorisation and a feedstock origin certificate.

Second-generation ethanol is an ethanol from cellulosic and lignocellulosic biomass feedstocks like bagasse, wood wastes, rice and wheat straw, corn stover, forestry wastes, industrial wastes, grasses, and algae. It has a good history of decreasing greenhouse gases and faces no competition with food crops, as it comes with no land use.

Compliance Requirements

For each export consignment, the exporter should ensure:

• Verification of the ethanol according to the standards of IS 15464 and amendments thereafter.
• Effective export authorisation granted by DGFT.
• Certificates of origin and quality of feedstocks from registered associations or laboratories, with a clear indication of each batch and an invoice for each lot.
• Compliance with safety documentation and destination country requirements.

The Government has also clarified that the consignments are subject to verification at any time, and non-compliance will invite action under the Foreign Trade Policy and applicable law.

Objective

The move strengthens oversight of ethanol while hastening the utilization of non-agricultural sources of clean biofuels and aligns both with environmental objectives and India’s transition towards green energy.

REF: https://content.dgft.gov.in/Website/dgftprod/bde51d68-4be0-40e5-8380-02aaa7494096/NOTIFICATION no 32 ENGLISH VERSION.pdf

https://content.dgft.gov.in/Website/dgftprod/ddc5cfdc-587b-4211-b11f-f2d6eb467fad/Trade Notice 12.pdf

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