Nitin Gadkari says alternative fuels can put India's automobile industry in world's top spot

Indian Express

12-08-2025

Written by Viraj Paranjpaye
Union Minister for Road Transport and Highways Nitin Gadkari said on Monday that India's automotive sector could become the world's No 1 in the next 5–6 years, provided it embraces alternative fuels and deeper integration with agriculture.
Speaking at World Biofuel Day celebrations hosted by Praj Industries at JW Marriott, Pune, Gadkari set out a vision that tied ecology, environment, economy, and ethics — the '4 Es' — to the future of India's transport and energy policy.
'India's automotive industry is already a ₹12-lakh crore ecosystem, the largest contributor to Goods and Services Tax (GST), employing 4.5 crore people, and a major exporter. Today, we are third globally, ahead of Japan. But 40% of our air pollution comes from vehicles. If we develop clean, pollution-free alternatives to fossil fuels, we will lead the world,' Gadkari said.
Calling himself 'an agriculturalist with six doctorates in the field,' Gadkari pressed for an overhaul of the rural economy. Agriculture currently contributes only 12–14 per cent to GDP but sustains 65 per cent of the population. 'If agriculture's GDP share rises to 25 per cent, on par with industry, through cost-effective alternative fuels, India will reverse its 85 per cent energy import dependence and redirect that money to our farmers,' he said.
He cited the example of ethanol production from corn, which increased prices and benefited the farmers of Bihar. Gadkari called for diversification into ethanol from multiple grains, bamboo cultivation on wastelands, and hydrogen production.
Bamboo, he said, could be a 'CO₂-free solution' while creating large-scale rural jobs. Other options on the table include methanol, isobutanol, and diesel substitutes from municipal waste — which, he noted, could also feed into highway construction.
Gadkari rejected concerns over funding. 'There is no shortage of money,' he said, pointing to the National Highways Authority of India's (NHAI) bonds with AAA ratings and citing the Kumbh Mela as an example of infrastructure's transformative impact. 'The people from Andhra Pradesh and Kerala could attend in UP because of our highways,' he pointed out.
Praj Industries' Executive Chairman Dr Pramod Chaudhari said, 'We want to bring together innovators, entrepreneurs, policymakers, and financiers to create sustainable, scalable solutions,' Chaudhari said.
(Viraj Paranjpaye is an intern with The Indian Express)