Ethanol policy helped farmers earn Rs 45,000 cr – Nitin Gadkari

Union Minister for Road Transport and Highways Nitin Gadkari stated that farmers across India have earned an additional income of Rs 45,000 crore through ethanol production from corn, underscoring its growing role in strengthening India’s rural economy.

Addressing the 20th FICCI Higher Education Summit 2025, Gadkari mentioned that the government’s ethanol policy has not only boosted income of farmers but also helped reduce India’s dependence on costly fuel imports.

The minister also predicted that the prices of electric vehicles (EVs) in India will soon be at par with petrol-powered vehicles.

He added, “Within the next four to six months, the cost of electric vehicles will be equivalent to that of petrol vehicles.

Highlighting the economic and environmental costs of fossil fuel dependence, Gadkari noted that India currently spends about Rs 22 lakh crore annually on fuel imports; which not only an economic burden but also harmful to the environment.

Outlining his vision for the automobile sector, Gadkari expressed confidence that India’s automobile industry will become the largest in the world within the next five years. “When I took charge as transport minister, the size of the Indian automobile industry was Rs 14 lakh crore. Today, it has grown to Rs 22 lakh crore,” he said.

He also compared India’s automobile industry with global leaders, pointing out that the United States has an industry worth Rs 78 lakh crore, followed by China at Rs 47 lakh crore, and India currently at Rs 22 lakh crore.

Previously, Nitin Gadkari had stressed on multiple occasions that India must move beyond import substitution to become an exporter of ethanol. He has been spotlighting new technologies like isobutanol as new sustainable alternative to diesel consumption in the country.