The government on Tuesday announced an increase in the price of ethanol procured by public sector oil marketing companies for one year starting December.

The decision was taken by the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi here.

The price of ethanol derived from C heavy molasses has been increased from Rs 43.46 a litre to Rs 43.75 per litre, and for B heavy molasses to Rs 54.27 per litre from Rs 52.43 earlier, an official release said.

Also, the price of ethanol from sugarcane juice, sugar, sugar syrup route has been fixed at Rs 59.48 per litre.

The increased prices have been approved for the forthcoming sugar season 2019-20 and will be applicable from December 1, 2019 to November 30, 2020.