The Directorate General of Foreign Trade (DGFT) has issued a new notification amending India’s foreign trade policy, specifically regarding the export of Second-Generation (2G) Ethanol. This amendment imposes an additional condition on the export of 2G Ethanol, which is produced from non-food-based cellulosic materials like bagasse, wood waste, and agricultural residues. The notification states that, effective immediately, the export of 2G Ethanol for both fuel and non-fuel purposes is now classified as “Restricted.” Previously, there were no specific conditions for its export. The key new requirement for exporting this type of ethanol is that a valid Export Authorisation from the DGFT is now mandatory. Furthermore, exporters must also provide a feedstock certification from a relevant competent authority to confirm that the ethanol meets the specified criteria, including its production from non-food sources and compliance with IS 15464 standards. This change in policy aims to regulate the export of this specific type of ethanol, ensuring its production method is verified and its trade is controlled through official channels.
Government of India
Ministry of Commerce & Industry
Department Of Commerce
Directorate General of Foreign Trade
Vanijya Bhawan, New Delhi – 110 011
Notifications No. 32/2025-26-DGFT | Dated: 24 September, 2025
Subject: Export Policy of Second Generation (2G) Ethanol – regarding.
S.O. 4345(E): In exercise of powers conferred under Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act, 1992, read with Para 1.02 and 2.01 of the Foreign Trade Policy 2023, as amended from time to time, the Central Government hereby amends Notification No. 62/2015-20 dated March 22, 2023 inserting additional Policy condition under Schedule-II (Export Policy) of ITC (HS) 2022, under ITC(HS) Code 22072000, as under with immediate effect:
| ITC(HS) Code & Export Description | Policy | Additional Export Policy Condition |
| 22072000 – Ethyl alcohol and other spirits, denatured, of any strength | Restricted | Export of Second Generation (2G) Ethanol — i.e. Ethanol produced through cellulosic material such as bagasse, wood waste, other renewable resources, industrial wastage, lignocellulosic feedstocks (e.g. agricultural and forestry residues such as rice an wheat straw, corn and Stover, bagasse, wood biomass), non-food crops (e.g. grasses, algae) an residue streams, and having low CO2 emissions or high GHG reduction, and which do not compete with food crops for land use and meets IS 15464 specifications (as amended from time to time) — is permitted for fuel and non-fuel purposes, subject to a valid Export Authorisation and feedstock certification from the relevant competent authority. |
Effect of This Notification: Additional policy condition for export of Second Generation (2G) Ethanol is hereby notified with immediate effect.
(Ajay Bhadoo)
Director General of Foreign Trade
and Additional Secretary to the Government of India
E-mail: dgft©nic.in
(Issued from File No. 01/91/180/21/AM18/EC/Vol-II/E-File/E-18994)
