Globus Spirits Share Price | As per the government notification, the rice for ethanol production will now cost ₹22.5 per kg or compared to ₹28 per kg earlier. This in turn will help ease input cost for ethanol producers such as Globus Spirits.
The alcohol manufacturing firm, in a stock exchange filing, said the Ministry of Consumer Affairs, Food and Public Distribution on January 17 reduced the price of rice supplied to the ethanol distilleries. As per the government notification, the rice for ethanol production will now cost ₹22.5 per kg or compared to ₹28 per kg earlier.
This in turn will help ease input cost for ethanol producers such as Globus Spirits.
The cost of producing ethanol is directly linked to the price of the rice procured from government agencies and open markets. A rise in the cost of rice impacts the profitability of companies manufacturing alcohol. Thus, a reduction of rice cost supplied to ethanol distilleries will help the companies like Globus Spirits.
The government in an official release on January 17, also announced that the reserve price of rice has been fixed at ₹2,250 per quintal for sale to state governments, state government corporations, and community kitchens, without the requirement of participating in e-auctions.
“These decisions reflect the Government of India’s commitment to supporting states in fulfilling their obligations under state schemes, promoting food security, and bolstering ethanol production as part of the national energy strategy,” the Ministry said.
The company's stock rallied 17% in the morning session on Monday to hit an intraday high of ₹930.9 per piece on the BSE. However, the Globus Spirits stock pared some of early gains to trade at ₹923.85 apiece, up 16.25, on the BSE at 12:05pm.
The small-cap stock has declined 17% over the last three months, while gaining 3% in the last one month. Over the past week, the alcohol stock has jumped almost 20%, while rising 5% so far in 2025.
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