Triveni Engineering & Industries plans to invest Rs 350 crore to double its alcohol manufacturing capacity over the next nine months.

With the investment, the company will set up two new distilleries and increase the capacity at its existing two distilleries, eventually raising its alcohol manufacturing capacity from 320 klpd to 660 klpd.

The target of 660 klpd is expected to be achieved by Q1/FY24.

The company estimates that revenue from its distillery business will increase by about Rs 1,500 crore annually once this capacity is achieved. In FY21, the revenue from the distillery business was Rs 544 crore, with a profit of Rs 101 crore.

The government’s ethanol blending programme involves mixing ethanol with petrol to reduce pollution and the import of crude oil. This will also create an additional revenue stream for farmers and the sugar industry, as cane syrup is primarily used to produce ethanol.