New Delhi, Jan 12 (IANS): Union Road Transport and Highways Minister Nitin Gadkari on Thursday said that a policy for setting up ethanol pumps across the country is in the works.

Addressing the Bio-Energy summit organised by industry body CII, he said that he would be meeting Petroleum Minister Hardeep Puri within the next 15 days to work on a policy to set up ethanol-based pumps in the country.

The minister added that there is a requirement of 1,000 crore litre of ethanol if it is blended with petrol by up to 20 per cent. Many major manufacturers are ready with motorcycles which can run on 100 per cent bioethanol, he said.

Even autorickshaws which can run on bioethanol can be manufactured, Gadkari added, noting that there is a lot of potential for ethanol as well as huge demand from several countries for the biofuel.

In fact, he told the gathering that Sri Lanka and Bangladesh have shown interest in importing ethanol from India and that he has held discussions with both the nations.

"I have discussed the matter with Bangladesh Prime Minister (Sheikh Hasina) and also with the Sri Lankan minister," Gadkari said, adding that both the countries want to blend ethanol with petrol.