Praj Industries Share Price Gains After SAF Certification MoU with IATA and ISMA

Praj Industries share price gains after the company announced a strategic Memorandum of Understanding (MoU) with IATA and ISMA to advance the certification of Sustainable Aviation Fuel (SAF) in India. The collaboration aims to assess the carbon intensity of sugarcane-based jet fuel and develop India-specific certification standards aligned with global benchmarks.

Praj Industries Share Price Gains Following Strategic SAF Certification MoU 

Praj Industries share price gains by 0.79% as of 9:55 AM on June 4 after it entered a strategic partnership with the International Air Transport Association (IATA) and the Indian Sugar & Bio-energy Manufacturers Association (ISMA). The collaboration focuses on assessing and certifying Sustainable Aviation Fuel (SAF) produced from sugarcane via the ethanol-to-jet pathway.

Praj, IATA and ISMA Sign MoU to Advance SAF Life Cycle 

The Memorandum of Understanding (MoU) will drive a Life Cycle Assessment (LCA) to determine the Carbon Intensity (CI) of sugarcane-derived SAF. CI measures greenhouse gas emissions per unit of energy produced and is a crucial indicator of the environmental benefits of SAF compared to conventional jet fuel.

This initiative is part of India’s broader decarbonisation roadmap, which mandates a 1% SAF blending target by 2027 and 2% by 2028.

India-Specific SAF Certification 

Under the MoU, Praj, IATA, and ISMA will jointly develop a certification methodology tailored for Indian SAF producers. This methodology will be aligned with the International Sustainability and Carbon Certification (ISCC) and Roundtable on Sustainable Biomaterials (RSB) standards under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).

This effort is aimed at positioning India as a credible player in the global SAF ecosystem.

Read More: India’s Ethanol Journey: Policy Push and Measures Beyond the 20% Blending Target! 

Praj Industries Expands SAF Leadership 

Praj Industries has previously collaborated with Indian Oil Corporation Ltd. and AirAsia India to successfully produce SAF from domestic feedstock. The company’s R&D facility, Praj Matrix in Pune, houses India’s first integrated SAF demonstration plant, showcasing its commitment to building a circular bioeconomy.

Founder Chairman Dr Pramod Chaudhari emphasised the need for scientific rigour and international frameworks to unlock India’s SAF potential.

Global and Government Backing for Sustainable Aviation

IATA’s SVP Sustainability, Marie Owens Thomsen, stated that tailored certification standards will strengthen SAF adoption in India and boost its global recognition. ISMA’s Director General highlighted the sugar industry’s readiness to emerge as Asia’s largest supplier of low-carbon-intensive SAF.

The initiative is aligned with the vision expressed by Prime Minister Narendra Modi at the 81st IATA AGM, urging international collaboration for sustainable aviation development.

Conclusion 

With over 4 decades of experience, Praj Industries offers renewable energy and chemical solutions through its proprietary Bio-Mobility® and Bio-Prism® platforms. The company’s technology supports sustainable decarbonisation and is implemented in more than 100 countries across six continents.

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