CM to open grain-based ethanol plant in GIDA on April 6

Gorakhpur: Chief minister Yogi Adityanath will inaugurate Rs 1,200 crore ethanol plant in the industrial area of Gorakhpur on April 6.
In line with Prime Minister Narendra Modi government's focus on biofuels, the Yogi government is driving ethanol production, positioning the state as India's top ethanol producer. Gorakhpur is set to play a key role in the expansion of biofuel production, with three major ethanol plants.
The largest of these is in GIDA's sector 26 to be inaugurated by the CM on Sunday. The foundation stone of this plant of Kayan Distillery Pvt Ltd was laid on August 12, 2023. The plant, which uses rice and maize for ethanol production, currently has a daily capacity of three lakh liters, set to expand to one million liters in three phases. Kayan has already inked an MoU with Indian Oil for ethanol supply, generating over 4,000 direct and indirect jobs.
Additionally, the government has allocated Rs 90 crore in the 2025-26 budget for an ethanol plant at Pipraich Sugar Mill. With a daily capacity of 60,000 litres, it will use sugarcane juice to enhance farmers' payment efficiency.
Meanwhile, the Indian Oil-backed Biofuel Complex in Dhuriyapar is also gearing up for ethanol production. Following the commissioning of a Rs165 crore compressed biogas (CBG) unit, ethanol production will commence in the project's second phase.
With these developments, Gorakhpur is on track to become a major green energy hub in eastern UP.