Firms out to make biofuel from jatropha

  • 09/07/2008

  • Business Standard (New Delhi)

Maulik Pathak / Ahmedabad July 10, 2008, 0:20 IST With oil flowing past $145 a barrel, leading companies in the country have lined up plans to explore opportunities in jatropha cultivation and prospects of biofuel. The companies are flocking to Gujarat, which has earmarked 1,900,000 acres in the Narmada region for the crop cultivation. The companies, including Mukesh Ambani's Reliance Industries and Tata Chemicals and the Essar group, are carrying out research and trials for producing oil from the cash crop in the state. "The area of wasteland in Gujarat is higher than Maharasthtra and Gujarat government has earmarked 1,900,000 acres in the Narmada region for jatropa cultivation," says an analyst who works on alternative fuels. While construction major Shapoorji Pallonji has been allocated wasteland, Mumbai-based renewable energy company Royal Energy is in the process of acquiring close to 2,000 acres in Deesa region. Hyderabad-based Nandan Biomatrix has joined hands with Ahmedabad-based V Worldwide Group to cultivate jatropha in 100,000 acres of wasteland in Gujarat, sources said. Besides, UK-based D1-BP Bio Fuels has signed a memorandum of understanding (MoU) with IL&FS Ecosmart for bio-diesel production in the state. The British company is also looking for fields in Uttar Pradesh, Rajasthan, Madhya Pradesh, Tamil Nadu, Assam and Maharasthra for the plant cultivation, company sources said. While the yield is the highest from the fourth year onwards, about 2,500 litres of bio-diesel can be produced per acre every year. Meanwhile, ONGC has planned jatropa plantation sprea