State-run Indian Oil Corporation (IOC) has revealed its plans to acquire a sugar mill, and construct a refinery in Brazil to produce ethanol.

According to sources, India’s ethanol production was likely at 2,730 million litres in the year to September 2008, down from 2,900 litres a previous year.

According to reports, India imports 70% of the oil it consumes and heavily discounts fuel sales.

The sources further revealed that India has set an aim of reaching 20% biofuel use within a decade.
 
Shares of IOC declined Rs 1.15, or 0.3%, to settle at Rs 386. The total volume of shares traded was 40,928 at the BSE (Monday).