India considers cane ethanol curbs to tame record sugar prices

Sugarcane is a tall, sweet plant that farmers grow to make sugar, and it can also be turned into a fuel called ethanol.

In India, factories use sugarcane to make both sugar and this fuel.

This year, two big farming states, Maharashtra and Karnataka, did not get enough rain, so there may be less sugarcane next year.

Because of that, sugar has become very expensive, and prices reached their highest level ever.

The Indian government is thinking about telling factories to use sugarcane mostly for sugar instead of fuel.

That way, more sugar could reach shops — about the same amount that was turned into fuel this year.

Factories could still make ethanol from a leftover syrup called C-heavy molasses.

The country could also use corn and rice to make fuel instead.

The government has already stopped selling sugar to other countries and limited how much sugar dealers can keep in storage.

A final decision may be announced by the end of next month, before the new season begins in October.