Consider the following statements regarding India's maize (corn) production and imports:

Statement I: Once the leading maize exporter in Asia, India has now become a net importer of maize for the first time in decades.

Statement II: The Indian government has promoted corn-based ethanol production to achieve 20% ethanol blending in gasoline by 2025-26.

Which one of the following is correct in respect of the above statements?

The correct answer is option 1.

Key Points

• India, previously a leading maize exporter in Asia, has now turned into a net importer for the first time in decades. Hence, Statement I is correct.
• The government has prioritized corn-based ethanol production to meet its 20% ethanol blending target in gasoline by 2025-26, reducing reliance on fossil fuels. This has increased domestic demand for maize, contributing to reduced exports and increased imports. Hence, Statement II is correct, and it explains Statement I.

Additional Information

• India’s maize production:
  • India is the 5th largest maize producer globally.
  • Maize contributes 9% of the national food basket and is grown in Kharif, Rabi, and Spring seasons.
• Ethanol Blending Program (EBP):
  • The National Biofuel Policy aims to achieve 20% ethanol blending (E20) by 2025-26.
  • Ethanol is produced from sugarcane, maize, and other feedstocks, reducing India’s oil import dependency.
• Economic Impact:
  • Higher demand for maize has driven up domestic prices, making exports less competitive.
  • Increased imports help meet demand for livestock feed and ethanol production.