(a) whether steps have been taken to set up crop based distillery for promoting the cultivation of maize and production of ethanol;
(b) if so, the details thereof;
(c) whether any scheme has been formulated to set up per capita rice production plants; and
(d) if so, the details thereof?
(a) to (d): In order to promote farming of maize and to ensure that maize farmers get better price for their produce, Government is encouraging production of ethanol from maize. To augment ethanol production capacity of grain based distilleries in the country, the Government has notified modified Ethanol Interest Subvention Scheme in January’2021 inter-alia extending financial assistance in the form of interest subvention @ 6% per annum or 50% of rate of interest charged by banks/financial institutions whichever is lower for five years including one year moratorium to set up new grain based distilleries and for expansion of existing grain based distilleries.
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National Food security Mission (NFSM) is being implemented in the country for increasing the production and productivity of food grains including rice & maize. Besides, State Governments have been requested to plan & promote maize cultivation by diverting rice/wheat area around distilleries through ”special projects” under Rashtriya Krishi VikasYojana (RKVY) with the approval of State Level Sanctioning Committee (SLSC) constituted under the chairmanship of Chief Secretary of the State.
Grain based distilleries produce ethanol from damaged food grains mainly broken rice, maize & rice available with FCI. Grain based distilleries do not require any specific rice production unit, as such, presently there is no plan to encourage distilleries to set up rice production plants in the country.
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