Reliance plans to expand biofuel production in India

Navi Mumbai, India-based biotech researcher Reliance Life Sciences is planning to significantly grow its presence in the biofuel sector.

RLS announced plans to build crushing and extraction facilities to produce more than one lakh metric tons (100,000 metric tons, or 110,231 tons) of biofuels a year.

RLS currently produces 6,500 metric tons of biodiesel per year at a pilot project at Kakinada in Andhra Pradesh from non-edible crops grown by local farmers.

The new facility is expected to require an investment of Rs 150 to Rs 200 crore ($29.7 million to $39.6 million). RLS would need feedstock from about 100,000 hectares (247,000 acres) of land for the plant.

RLS is in talks with farmers for the feedstock but expects to sign agreements with 50,000 farmers in Maharashtra, Gujarat, Chhattisgarh and Andhra Pradesh. RLS pays about Rs 5 ($0.10) per kilogram of yield, which can be done side-by-side with current food crops.

Reliance is testing ways to improve crop yields, including intercropping jatropha and pongamia with food crops.

RLS is also developing composite varieties of jatropha though metabolic engineering to improve yields of the non-edible shrub.

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