Ethanol production will be over 500 million litres (0.4 million tones), Ethanol is mainly exported to Japan, European countries, China and Korea where it is heavily used in medicines, The local production of ethanol by promoting use of ethanol as gasoline blending component. The ethanol fuel is a renewable fuel and it does not deplete the resources as in the case of petrol. Since alcohol has an octane number of 99 while petrol has 90, therefore, if petrol is blended with 10 per cent ethanol, its octane number can also increase to 91. Higher octane number of alcohol gives the higher compression ratio and higher thermal efficiency, improving engine performance. Other domestic consumption of alcohol includes usage in varnishes, paints, cosmetics, medicines, explosives, acetic acid, ethyl acetate, butyl acetate, acetone, acetic anhydride, acetate yarn, paper and leather sector.  

Alcohol as fuel blends is economically successful in countries where oil is more expensive or where independence in fuel supply is seemed as a political or strategic problem. In India, the government has made mandatory five per cent blending and In Brazil, now most of cars and light vehicles use either neat-ethanol (94 per cent ethanol, six per cent water) or gasohol (78 per cent gasoline, 22 per cent ethanol) as fuel. 

Presently, 13 distilleries are operating in Pakistan. Production capacity of 10 distilleries is about 143 million litres of ethyl alcohol per annum In addition, three distilleries are producing 6.5 million litres per annum alcohol. In Pakistan consumption of petrol stands at 1.27 million tons per year. At this consumption, complete replacement of petrol with gasohol, containing 10 per cent ethanol, will require around 0.127 million tons of ethanol.  

The country has a potential to produce 480 to 540 millions litres of ethanol. No special engine modification or handling precautions are needed when using a 10 percent ethanol blend. Such widespread international experience indicates that the viability and functionality of petrohol will be much the same as of the corresponding petrol with which the ethanol is blended.

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MODE OF PAYMENT

Through TT or Irrevocable, Confirm, Transferable Letter Of Credit at sight.