India has proposed banning the use of corn, soybeans, and palm oil as feedstocks for sustainable aviation fuel (SAF) under the draft National Policy on Sustainable Aviation Fuel. The move aims to prevent competition between SAF production and the food sector.
The policy excludes feedstocks linked to deforestation, biodiversity loss, and unauthorised genetically modified organisms (GMOs). Instead, non-food feedstocks such as used cooking oil, animal fats, and agricultural residues are being prioritised for SAF production. Sugarcane-derived products remain eligible for producing alcohol-to-jet (ATJ) fuel.
A traceability mechanism will be introduced to geo-tag feedstock batches and verify their origins using satellite imagery. The policy also proposes a fixed procurement price mechanism, which will be set annually or every six months. Oil marketing companies may receive government subsidies to cover any price differences.
SAF blending targets for international flights are proposed at 1% in 2027, 2% in 2028, and 5% by 2030. The government may increase the target to 7.5% by 2035. Financial assistance covering up to 30% of capital expenditure for SAF manufacturing is also proposed.