Davangere Sugar to expand ethanol capacity to 85 kilo litres per day

Davangere Sugar Company plans to increase its ethanol production capacity to 85 kilo litres per day from 65 KLPD by end of this fiscal and further to 110 KLPD in a planned manner.

The company will also install a 35 tonne per day CO₂ recovery plant. The expansion is aligned to the Government’s ethanol blending program, said the company.

In a bid to ensure consistent feedstock supply and year-round production, the company plans to diversify procurement by tapping into broken rice and maize.

To strengthen its supply chain and deepen rural engagement, DSCL aims to expand cultivation by 15,000 acres this year alone. It plans to launch various farmer-centric initiatives mechanised harvesting systems to reduce labour costs and improve farm productivity, organised cane transport solutions to streamline logistics and ensure timely supply and subsidies and performance-linked incentives to reward farmers and boost incomes.

The efforts are projected to help the company surpass 5 lakh tonnes of sugarcane crushing consistently in the coming years, creating a multiplier effect across its sugar, ethanol and power businesses, it said.

Ganesh Shivashankarappa Shamanur, Chairman & Managing Director, Davangere Sugar Company said with the expansion in ethanol, aggressive grain procurement, increased cane cultivation, and farmer-friendly initiatives, the company will create a robust growth model that strengthens revenues, profitability and long-term shareholder value.

The company’s zero-waste, fully integrated operations ensure every input—from sugarcane to grain—is utilised optimally, contributing to both environmental sustainability and rural prosperity, he said.

With favourable policy tailwinds and rising demand, especially in the biofuel segment, DSCL is well placed to capitalise on new market opportunities while reinforcing its commitment to rural development and environmental responsibility, it said.

Published on September 1, 2025