The Society of Indian Automobile Manufacturers (SIAM) signed an MoU with the US Grains Council (USGC) on Friday at the ongoing Auto Expo 2023 in an effort to raise ethanol awareness.
The SIAM is the apex body for the Indian automobile industry, and the USGC is a non-profit organisation based in Washington that is developing global ethanol export markets.
The partnership's goal is to establish a framework of cooperation covering scientific, technical, and policy aspects of sustainable and environmentally friendly ethanol production, blending, distribution, and marketing.
This framework will assist in the development of not only national priorities, but also socioeconomic development strategies and goals.
The MoU was signed at the Auto Expo 2023 by Vinod Aggarwal, President, SIAM, and Josh Miller, Chairman, USGC, in the presence of Hardeep Singh Puri, Minister of Petroleum and Natural Gas, and Gloria Berbena, Acting Deputy Chief of Mission and Counsellor, US Embassy, New Delhi.
The organisations will collaborate on key areas such as standards, regulations, and policy frameworks, blending and retailing, production and logistics, and automobile compatibility under the terms of the agreement.
SIAM President Aggarwal said: "SIAM highly appreciates the role and vision of the Council to develop long-term partnerships with Indian stakeholders, create opportunities and add value to the US-India trade relationship. The Council has had a presence in India for over 25 years and we look forward to working with the Council on the promotion and implementation of the government's ethanol blending mandate."
Ethanol is a clean, renewable fuel that benefits the environment, health, and economy.
India met its target of supplying 10% ethanol-blended gasoline by June 2022, five months ahead of schedule, up from 0.67 percent blending in 2012.
The country plans to increase the blend to 20% by 2025-26, which will require an estimated 2.68 billion gallons or 10.15 billion litres of ethanol.
USGC Chairman Josh Miller said: "We believe in collaboration and are constantly exploring opportunities to support India to achieve its next target of 20 per cent blending by 2025. India is the second-largest importer of US ethanol for industrial purposes. This MoU reflects the excellent mutual relations between the countries and our collaborative efforts and shared priorities in this space."
Meanwhile, Berbena remarked: "Through this MOU between SIAM and the USGC, I believe that biofuels will remain a critical tool for a stronger, more sustainable future for the US, India, and the world."