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Motivated by @anbezhil12 will write in a thread my learning’s in alcohol industry. Tried this once in 2011 then @NR_Tatvamasi was the culprit but I did not continue.
Read this article to understand sources of ethanol https://www.financialexpress.com/industry/up-allows-production-of-ethanol-directly-from-b-heavy-molasses/1287933/
Read this article to understand sources of ethanol https://www.financialexpress.com/industry/up-allows-production-of-ethanol-directly-from-b-heavy-molasses/1287933/
The gist of the article is this - C molasses that is by product of sugar manufacture with least sugar was used for making ethanol. Rarely B molasses was used. But never cane juice itself.
This was due to 2 reasons. There was sugar shortage and controlled prices of ethanol made
This was due to 2 reasons. There was sugar shortage and controlled prices of ethanol made
sugar profitable.
But over the years, with rising cultivation of cane, there was sugar surplus. Meanwhile ethanol prices were decontrolled.
To summarise,
- cane juice can be converted to sugar with molasses and inturn alcohol the bye product. Or
- cane juice can be
But over the years, with rising cultivation of cane, there was sugar surplus. Meanwhile ethanol prices were decontrolled.
To summarise,
- cane juice can be converted to sugar with molasses and inturn alcohol the bye product. Or
- cane juice can be
directly converted to ethanol.
The second option is a tough call to make. Govt is unable to control over production of cane. Resulting glut in sugar was killing mills and inturn farmers.
So both UPA and NDA has favoured conversion of cane juice directly to alcohol
The second option is a tough call to make. Govt is unable to control over production of cane. Resulting glut in sugar was killing mills and inturn farmers.
So both UPA and NDA has favoured conversion of cane juice directly to alcohol
that is non food use - either for making IMFL or for blending with petrol.
The idea was it will solve 2 problems. Solve the issue of glut and reduce dependence on imported fuel.
The idea was it will solve 2 problems. Solve the issue of glut and reduce dependence on imported fuel.
I am talking of a timeframe from 1980s to date. Only the middle aged among us knew the 80s and 90s.
And the shift in consumption pattern. Consumption of alcohol went up during this period this was fuelled by increasing availability of alcohol.
And this also solved the problem
And the shift in consumption pattern. Consumption of alcohol went up during this period this was fuelled by increasing availability of alcohol.
And this also solved the problem
of finances for states.
Tamilnadu with TASMAC had the best infrastructure in place to exploit this.
In 1983 when MGR allowed IMFL the stated intention was to fund the mid day meal scheme. Going by memory in that year budget the income from IMFL was Rs 183 cr
Tamilnadu with TASMAC had the best infrastructure in place to exploit this.
In 1983 when MGR allowed IMFL the stated intention was to fund the mid day meal scheme. Going by memory in that year budget the income from IMFL was Rs 183 cr
The exact amount budgeted for mid day meal scheme.
For a long time it was a cartel of 5 manufacturers all close to the ruling party. Between 1983 and 1996 DMK was in power for a very short time only.
Those days TASMAC was not the selling agent and liquor shops used
For a long time it was a cartel of 5 manufacturers all close to the ruling party. Between 1983 and 1996 DMK was in power for a very short time only.
Those days TASMAC was not the selling agent and liquor shops used
to be auctioned.
The auctions were gamed in an ingenious way. An informal auction would happen and the winner would be allowed to take the shop at knock down price.
The difference between price in informal auction and knock down price would be shared among those who lost
The auctions were gamed in an ingenious way. An informal auction would happen and the winner would be allowed to take the shop at knock down price.
The difference between price in informal auction and knock down price would be shared among those who lost
During this period there was a great incentive to produce spurious liquor.
IMFL was priced high for 2 - 3 reasons. And this opened up the opportunity for corruption. As the cost of corruption went up, it became easier to make and sell spurious liquor.
After a long time there
IMFL was priced high for 2 - 3 reasons. And this opened up the opportunity for corruption. As the cost of corruption went up, it became easier to make and sell spurious liquor.
After a long time there
few deaths happened in late 1990s because of spurious liquor. MuKa took it serious and cut down on the big dealers of such products. He should be credited for this as most such dealers were DMK men.
Pon Manickavel now famous for idol theft was made in charge of this by JJ in
Pon Manickavel now famous for idol theft was made in charge of this by JJ in
2000s.
But the major shift happened in circa 2002.
The coffers were empty and JJ banked on the auction income. The auction surprisingly (actually not surprising considering the informal auction) yielded very little.
So JJ went ahead and cancelled the auction and
But the major shift happened in circa 2002.
The coffers were empty and JJ banked on the auction income. The auction surprisingly (actually not surprising considering the informal auction) yielded very little.
So JJ went ahead and cancelled the auction and
did a second auction. This was equally disastrous. To add insult to injury most bidders were DMK men.
This was when JJ scrapped the auction and went for sale by TASMAC.
The next episode relates to the change in scenario with new manufacturers coming in
This was when JJ scrapped the auction and went for sale by TASMAC.
The next episode relates to the change in scenario with new manufacturers coming in
The genie had been let out in early 1980s and in next 20 years the genie had become an huge monster.
Both MuKa and JJ did their best to plug the losses. TASMAC marketing cut down all leakages. But the second season started now.
With the licence to Midas the stable doors
Both MuKa and JJ did their best to plug the losses. TASMAC marketing cut down all leakages. But the second season started now.
With the licence to Midas the stable doors
we’re opened. Soon in the DMK rule elite, SNJ and Kals were licensed.
Tamilnadu has an unique but well oiled system. Only those with licence can not only manufacture but deal with TASMAC.
In other states one can buy buy lease or even import from other states and sell to
Tamilnadu has an unique but well oiled system. Only those with licence can not only manufacture but deal with TASMAC.
In other states one can buy buy lease or even import from other states and sell to
The equivalent of TASMAC in that state.
But in TN even Vijay Mallya and Mohan Meakins had to deal only through the original 5 licencees.
This was broken in the period 2003 - 2010.
But I think I went of at a tangent into juicy gossips. But what @anbezhil12 wanted was how the
But in TN even Vijay Mallya and Mohan Meakins had to deal only through the original 5 licencees.
This was broken in the period 2003 - 2010.
But I think I went of at a tangent into juicy gossips. But what @anbezhil12 wanted was how the
Alcohol policy ruined agriculture.
Will tweet more on that now.
Will tweet more on that now.
This article in 2013 by Hindu Businessline gives a good idea of the alcohol market. Also it gives some prediction. We will try and see how things have grown later. https://www.thehindubusinessline.com/economy/the-alcohol-economy/article20697419.ece1
