S.O.2198(E)/Ess.Com./Sugarcane. – In exercise of the powers conferred by Section 3 of the Essential Commodities Act, 1955 (10 of 1955), the Central Government hereby makes the following Order further to amend the Sugarcane (Control) Order, 1966, namely:-

1.         (1)            This Order may be called the Sugarcane (Control) Amendment Order, 2007.

(2)       It shall come into force on the date of its publication in the Official Gazette.

2.         In the Sugarcane (Control) Order, 1966,

(a)       In Clause 2,

            (i)            for sub-clause (c), the following sub-clause shall be substituted, namely:

“(c) ‘factory’ means any premises including the precincts thereof in any part of which sugar is manufactured by vacuum pan process and at its own option, ethanol either directly from sugarcane juice or from molasses, including B-Heavy molasses, or both as the case may be, is manufactured”;

(ii)        for sub-clause (i), the following sub-clause shall be substituted, namely:-

“(i) ‘producer of sugar’ means a person carrying on the business of manufacturing sugar by vacuum pan process and at its own option, ethanol either directly from sugarcane juice or from molasses, including B-Heavy molasses, or both”;

(b)       In Clause 3, in sub-clause (1), in item(e) after proviso, the Explanation shall be numbered as Explanation shall be numbered as Explanation (1) and after Explanation (1) as so numbered, the following Explanations shall be inserted, namely:-

“Explanation(2) – When a sugar factory produces ethanol directly from sugarcane juice or B-Heavy molasses, the recovery rate in case of such sugar factory shall be determined by considering every 600 litres of ethanol so produced as equivalent to one tone of production of sugar;

Explanation (3)- Production of ethanol directly from sugarcane juice shall be allowed in case of sugar factories only”;

(c) In clause 5A, in sub-clause (17), under Explanation, after item (2), the following items shall be inserted, namely:-

“(3)  ‘Ethanol’ means anhydrous ethyl alcohol of minimum 99% strength, produced directly either from sugarcane juice or B-heavy molasses or both;

(4)  When a sugar factory manufacturers ethanol directly from sugarcane juice or B-heavy molasses, then every 600 litres of ethanol so produced directly from sugarcane juice or B-heavy molasses shall be taken as equivalent to one ton production of sugar.”;

(d)  In Clause 9 for sub-clause (a), the following sub-clause shall be substituted, namely:-

“(a)  direct any producer of sugar to supply, within such period as may be specified, such informations, returns or reports, as may be required relating to the recovery of sugar, duration of season, cost of manufacture, stocks of sugar or ethanol, price realized or to be realized for sugar or ethanol, molasses, press-mud and bagasse, amount realized or to be realized by way of refund of or exemption from excise duty or cane cess or purchase tax or by way of grant or subsidy given by the Central Government, commission to cooperative societies paid or to be paid, amount spent on approved schemes of sugarcane development, commission paid on sale of sugar or ethanol, export loss, amount spent on rehabilitation or amount transferred as reserve to a special rehabilitation account, or any other information that may be required for the purpose of this Order;”