Balrampur Chini, Shree Renuka Sugars and other sugar stocks zoom up to 20%; here’s why

/2 min read

ADVERTISEMENT

Shares of sugar companies rallied up to 20% in today’s session, as a new government policy calls for 20% ethanol blending in petrol, while the Supreme Court dismissed a PIL that challenged the blending mandate.
THIS STORY FEATURES
Bajaj Hindusthan Sugar Ltd Fortune 500 India 2024
Balrampur Chini, Shree Renuka Sugars and other sugar stocks zoom up to 20%; here’s why
Sugar stocks surged steeply in today's trading session Credits: Shutterstock
In this story
Profiles Mentioned in this article

Shares of sugar companies rallied up to 20% in today’s session, as a new government policy prompts boosting ethanol production to achieve 20% ethanol blending in petrol.

Sugar companies were cheered by the notification, with Rajshree Sugars & Chemicals seeing the steepest rise of 20%, while Shree Renuka Sugars rose by 15%, and Balarampur Chinni Mills by 7.15%. Other sugar companies like Avadh Sugar & Energy, Sakthi Sugars, Ugar Sugar Mills, Mawana Sugars and Triveni Engineering & Industries also recorded an uptick in 5% to 10% range. 

In a notification dated September 1, the Department of Food and Public Distribution (DFPD) permitted sugar mills and distilleries to manufacture ethanol from sugarcane juice, sugar syrup, B-heavy molasses, and C-heavy molasses during the Ethanol Supply Year (ESY) 2025-26 without any quantitative restrictions. 

The circular added that the DFPD, in coordination with the Ministry of Petroleum and Natural Gas (MoPNG), would periodically review the diversion of sugar to ethanol production to ensure sufficient availability of sugar for domestic consumption throughout the year.

Fortune India Latest Edition is Out Now!
India's Top 100 Billionaires

August 2025

As India continues to be the world’s fastest-growing major economy, Fortune India presents its special issue on the nation’s Top 100 Billionaires. Curated in partnership with Waterfield Advisors, this year’s list reflects a slight decline in the number of dollar billionaires—from 185 to 182—even as the entry threshold for the Top 100 rose to ₹24,283 crore, up from ₹22,739 crore last year. From stalwarts like Mukesh Ambani, Gautam Adani, and the Mistry family, who continue to lead the list, to major gainers such as Sunil Mittal and Kumar Mangalam Birla, the issue goes beyond the numbers to explore the resilience, ambition, and strategic foresight that define India’s wealth creators. Read their compelling stories in the latest issue of Fortune India. On stands now.

Read Now
Balaram Chini Mills surged by 6.63%
Balaram Chini Mills surged by 6.63% Credits: Google
Shree Renuka Sugars recorded a steep surge of 14.14%
Shree Renuka Sugars recorded a steep surge of 14.14% Credits: Google

Apart from the notification, the Supreme Court also dismissed a PIL challenging the Union Government's Ethanol Blending Programme mandating the sale of petrol blended with 20% ethanol (E20). 

The petition was submitted by advocate Akshay Malhotra, requesting the Ministry of Petroleum and Natural Gas to make ethanol-free petroleum available at retail outlets. The petition also included mandatory disclosure of the ethanol content on fuel dispensing machines, while providing clear information to consumers about ethanol compatibility with their vehicles. 

This petition comes to light as the government is pushing for E20 petrol, while consumers complain about a drop in fuel efficiency and faster mechanical degradation. R Venkataramani, Attorney General for India, dismissed the petition, saying that the Government has framed the policy after considering all aspects in order to provide benefits to India's sugarcane farmers and save foreign exchange.

Fortune India is now on WhatsApp! Get the latest updates from the world of business and economy delivered straight to your phone. Subscribe now.

Related Tags