Biodiesel Companies in Tamilnadu (from TNAU website)

The Government of Tamil Nadu announced alternative crops for the State of Tamil Nadu in the view of successive years of droughts and to reduce use of water for cultivation. The State Government has promoted less water intensive crops such as Jatropha, Sweet Sorghum and Sugar beet for their use for production of ethanol and biodiesel. The Chief Minister announced various measures to promote biofuel production in Tamil Nadu for example Jatropha for biodiesel and sweet sorghum and sugarcane for ethanol production. Towards this end, the Tamil Nadu Government has also called for expression of interest from stakeholders in the State. Two hundred and seventy one (271) companies, corporate sectors and NGOs expressed their interest. In the first instance, four companies were given permission for production and processing of biofuels viz., M/s.Mohan Breweries Limited, Chennai; M/s.Bannariamman Sugars and M/s.Shiva Distilleries, Coimbatore; M/s.Riverway Agro Products (P) Ltd., Tirunelveli; and M/s.Dharani Sugars, Ambasamudram. Subsequently, 18 more companies were given permission to cultivate Jatropha crop and Government will give assistance for their production through contract farming. Currently Government is in the process of working out the modalities for out reach of the farmers. M/s.Renulakshmi Agro-industries Limited established 600 acres of Jatropha under contract farming and opened a crushing unit with a capacity of 3 tonnes per day. It is procuring Jatropha seeds from Coimbatore, Erode and Theni districts of Tamil Nadu from the wild collections and supplied oil to Southern Railways at Chennai. M/s. Bannariamman Sugars and M/s. Shiva Distilleries Industries Limited has established 1546 acres of Jatropha plantations in Windmill areas and the seeds / seedlings were supplied by Forest College and Research Institute, Mettupalayam. This firm conducted few field days to popularize the Jatropha among farmers. Three State Ministers, Vice-Chancellor, TNAU and the Scientists from the University, Corporate bodies, and farming communities, attended the function. The Field day was well received by overwhelming response from the farmers. This company currently procures seeds of Jatropha, and Karanj from their regional centres, and commencing 3000kg per day Biodiesel production from July 2006 onwards . The quantity of their procurement is not known. But this company announced to procure the above seeds from self help groups. M/s. Mohan Breweries Limited, Chennai has signed a MoU with D1 Oils Limited, UK for the establishment of biodiesel production plant. They are yet to start seed procurement from Jatropha. However, they announced to start from the ensuing year. M/s.Riverway Agro Products (P) Ltd., Tirunelveli has planted 600 acres of Jatropha plantation in Tuticorin Dt. Recently, Southern PURA Biofuels in Madurai announced procurement of neem and karanj/pungam seeds from Madurai through Self help groups and DRDA.

The Southern Railway Regional Workshop at Chennai has established transesterification plant to meet their requirements with a capacity of 1000 litres per day. A biodiesel rail engine is running between Chennai and Arakkonam for test run. Southern Railways is purchasing oil and transesterified oil for the last two years. The state forest department, Government of Tamilnadu has established three Karanja based biodiesel esterification plant based on the TNAU model at Hosur and Tuticorin Forest division. Government of Tamilnadu has sanctioned a model demonstration plot with a budget of one crores to state forest department to operate 150 villages under JFM model at the rate of 1 acre per individual at an espacement of 2 x 2 m. The cost of establishment and maintenance will be met by the Forest Department without any initial commitment to the farmers. To kick start appraise the project with a quality planting material, a team comprising of the Principal Chief Conservator of Forests Shri J.C.Kala, I.F.S. accompanied by Dr.M.Paramathma, Professor and Head, Department of Tree Breeding, Forest College and Research Institute, TNAU, Mettupalayam and Shri S.Kalyanasundaram, I.F.S., Divisional Forest Officer, Chengalpattu visited Zimbabwe, Tanzania and South Africa for assessment and procurement of quality Jatropha seeds. The team identified superior sources and procured 275 kg. of Jatropha seeds from Zimbabwe for establishment in the JFM villages of Tamil Nadu. The State Agricultural Department, Government of Tamil Nadu also received financial assistance from NOVOD Board to establish model Jatropha plantations to the tune of 300 hectares in State Seed Farms and another 300 hectares under the comprehensive wasteland development project

Business line article on JAtropha contract farming

Allied Carbon Solutions of Japan, a biofuel company with a multinational presence, has launched a contract farming programme for jatropha cultivation in South India. The company's Indian subsidiary, ACS Alternative Fuels Pvt Ltd will set up a jatropha oil mill in Aruppukottai, Tamil Nadu, with a capacity to produce about 10 tonnes of crude jatropha oil daily. That is about 40 tonnes of seed to be crushed daily, according to its India representative, and Chief Project Manager, Mr S.A. Alagarsamy. The company plans to export the biofuel to the US and Japan for which it has ready orders on hand, he said. ACS Alternative Fuels will source jatropha seeds from farmers through contract farming of jatropha in Tamil Nadu and Andhra Pradesh. In Tamil Nadu where it has first launched the project, it hopes to bring under contract farming about 10,000 acres. At the first meeting held

recently farmers have committed about 1,500 acres and the balance is to be tied up after the mill is set up. Orders for equipment have been placed, Mr Alagarsamy said. For now, the company is sourcing seeds from the farmers who are into jatropha cultivation. ACS Alternative Fuels will pay between Rs 12-15 per kg of seed depending on the quality. (This article was published in the Business Line print edition dated April 26, 2010)