The Cabinet Committee on Economic Affairs has approved over 25 per cent hike in the price of ethanol produced directly from sugarcane juice for blending in petrol.

Briefing reporters after the cabinet meeting in New Delhi, Petroleum Minister Dharmendra Pradhan said, the procurement price of ethanol derived from 100 per cent sugarcane juice to 59 rupees 13 paise per litre from the current rate of 47 rupees 13 paise.

Mr. Pradhan said, the price for ethanol produced from B-heavy molasses has been hiked to 52 rupees 43 paise a litre from the current 47 rupees 13 paise.

The Petroleum Minister said, the ethanol produced from C- heavy molasses was reduced marginally to 43 rupees 46 paise from 43 rupees 70 paise.