Why is India focusing so much on Ethanol and how will it benefit stocks like Triveni, Balrampur, Dalmia Sugar, Dhampur etc?

You are right that the government is going aggressive on blending ethanol with petrol to reduce the oil import bill on an urgent basis. The idea is to shift sugar away from a demand/supply story to more of a structural game. Government is close to 10% ethanol blending target by 2022 as it is already at 7.5% with one year to go. It has also advanced the 20% ethanol blending target by 7 years from 2030 to 2023.

For India, ethanol blending will substantially reduce the need for crude oil imports. Currently, nearly 85% of daily crude oil needs come from imports. By blending of petrol with 20% ethanol by 2023 it would result in massive reduction in the demand for imported crude from 85% to just around 70%. That is what is making the government go after it so aggressively.