New Ethanol Plant Aims to Drive Jagatjit Industries to ₹550 Crore Topline.

Jagatjit Industries, the company behind Royal Pride Whiskey, has officially commenced commercial production at its new 200-kilolitre-per-day (KLPD) grain-based ethanol distillery. The state-of-the-art facility is integrated within the company's flagship complex in Hamira.

This new venture is poised to significantly impact Jagatjit Industries' financial performance. At full capacity, the ethanol plant is projected to generate an additional ₹550 crore in annual turnover, according to the company. Furthermore, it's expected to expand the Group’s EBITDA margin by approximately 8-10 percentage points.

For its initial partial year of operation, the distillery is anticipated to contribute around ₹300 crore to EBITDA. Once fully operational, the plant will have the capacity to supply 65-70 million litres of ethanol per year, a crucial contribution towards the Indian government's ambitious 20 percent ethanol blending target under the National Policy on Biofuels. This move marks a strategic diversification for Jagatjit Industries, aligning with national energy goals while bolstering its revenue streams.