Business
Bioethanol plant deems lack of Government support an ‘act of economic self-harm’
The UK’s largest bioethanol plant has described a Government decision not to offer direct funding to the industry as “a flagrant act of economic self-harm” which will force it to close.
Vivergo Fuels, near Hull, warned earlier this year that it was in imminent danger of closure as crisis talks continued with the Government.
This followed the end of the 19% tariff on American bioethanol imports as part of the recent UK-US trade deal.
On Friday, the Government said: “This Government will always take decisions in the national interest.
“That’s why we negotiated a landmark deal with the US which protected hundreds of thousands of jobs in sectors like auto and aerospace.
“We have worked closely with the companies since June to understand the financial challenges they have faced over the past decade, and have taken the difficult decision not to offer direct funding as it would not provide value for the taxpayer or solve the long-term problems the industry faces.
“We recognise this is a difficult time for the workers and their families and we will work with trade unions, local partners and the companies to support them through this process.
“We also continue to work up proposals that ensure the resilience of our CO2 supply in the long-term in consultation with the sector.”
Ben Hackett, managing director of Vivergo Fuels, said: “The Government’s failure to back Vivergo has forced us to cease operations and move to closure immediately.
“This is a flagrant act of economic self-harm that will have far-reaching consequences.
“This is a massive blow to Hull and the Humber.
“We have fought from day one to support our workers and we are truly sorry that this is not the outcome any of us wanted.
“This decision by ministers will have a huge impact on our region and the thousands of livelihoods in the supply chain that rely on Vivergo, from farmers to hauliers and engineers.”
Mr Hackett said the industry has faced “unfair regulations” for years that favoured overseas producers, and the recent US-UK trade deal pushed the sector “to the point of collapse”.
He said: “We did everything we possibly could to avoid closure, but in the end it was the Government that decided the British bioethanol sector was something that could be traded away with little regard for the impact it would have on ordinary hard-working people.
“We did not go down without a fight and I hope that the noise we generated over the past three months will make the Government think twice before it decides to sign away whole industries as part of future trade negotiations.”
A spokesman for Associated British Foods, which owns Vivergo, said: “It is deeply regrettable that the Government has chosen not to support a key national asset.
“We have been left with no choice but to announce the closure of Vivergo and we have informed our people.
“We have been fighting for months to keep this plant open.
“We initiated and led talks with Government in good faith. We presented a clear plan to restore Vivergo to profitability within two years under policy levers already aligned with the Government’s own green industrial strategy.”
The spokesman said the Government had “thrown away billions in potential growth in the Humber and a sovereign capability in clean fuels that had the chance to lead the world”.
The bioethanol industry, which also includes the Ensus plant on Teesside, has argued the trade deal, coupled with regulatory constraints, has made it impossible to compete with heavily subsidised American products.
Vivergo said the Hull plant, which employs about 160 people, can produce up to 420 million litres of bioethanol from wheat sourced from thousands of UK farms.
It has described bioethanol production as “a key national strategic asset” which helps reduce emissions from petrol and is expected to be a key component in sustainable aircraft fuel in the future.
The firm recently signed a £1.25 billion memorandum of understanding with Meld Energy to anchor a “world-class” sustainable aviation fuel facility at the site.
But Meld Energy said earlier this month uncertainly over the bioethanol industry was putting this plan in jeopardy.
The Vivergo plant is also the UK’s largest single production site for animal feed, and the company says it indirectly supports about 4,000 jobs in the Humber and Lincolnshire region.
Vivergo has said it buys more than a million tonnes of British wheat each year from more than 4,000 farms, and has purchased from 12,000 individual farms over the past decade.
But it took its last wheat shipment earlier this month.
The farmers’ union described the imminent closure of the Vivergo plant as a “huge blow”.
NFU combinable crops board chairman Jamie Burrows said: “Not only is it terrible news for those hundreds of workers who will lose their jobs but also for the thousands of people whose livelihoods depend on this supply chain – that includes local farmers who have lost a vital market for their product.”
The Ensus plant in Teesside differs from the Vivergo operation because it also produces CO2 as part of the process.
Ensus, which is owned by CropEnergies, part of the German firm Sudzucker, is the UK’s only large scale manufacturer of CO2, which is used in a wide range of sectors, including in drinks and the nuclear industry.
Grant Pearson, chairman of Ensus UK, said on Friday: “I met with Sarah Jones, the minister for business, today, to receive the Government’s response to our request for financial support and the policy changes required to ensure that the Ensus facilities can continue to operate.
“The minister confirmed that they value both our contribution to the UK economy, the jobs we provide and support in the north east of England and in particular our production of biogenic CO2 which is a product of critical national importance.
“They are therefore looking at options to secure an ongoing supply of CO2 from the Ensus facility.
“This is positive news, however it is likely to take time to agree upon and finalise and therefore urgent discussions will be taking place to provide a level of assurance to the Sudzucker and CropEnergies’ boards that there is a very high level of confidence that an acceptable long-term arrangement can be reached.”
Gold prices in Pakistan surged sharply on Monday, with the price of 24-karat gold rising by Rs13,300 per tola, according to the All Pakistan Sarafa Gems and Jewellers Association.
The new price of 24-karat gold per tola stands at Rs563,862, up from Rs550,562.
Updated Gold Rates
24K gold (per 10 grams):
Increased by Rs11,402 to Rs483,420
22K gold (per 10 grams):
Rose by Rs10,453 to Rs443,151
Silver Prices Also Rise
Silver (per tola):
Up Rs188 to Rs10,050
Silver (per 10 grams):
Increased by Rs161 to Rs8,616
International Market Impact
The surge in domestic prices follows gains in the international market, where gold climbed by $133 to $5,411 per ounce, while silver rose by $1.88 to $95.66 per ounce.
Analysts attribute the rally to global economic uncertainty and heightened geopolitical tensions, which typically drive investors toward safe-haven assets like gold.
One in five UK grocery trips involves at least one missing item, adding up to roughly £2.1 billion in “displaced” sales, according to a report.
As a result, 44% of consumers say they have switched to another supermarket or added in a visit to an alternative grocer in the past year to find an item they need – rising to almost two thirds of shoppers under 45, a study by DHL Supply Chain and the consultancy Retail Economics found.
Almost six in 10 shoppers (59%) said availability is a main reason they shop across multiple stores, and one in three now prioritised availability over price, a survey of 2,000 UK households suggests.
Meanwhile, convenience stores accounted for around one fifth of grocery sales but made up almost half of all displaced spending because of gaps on shelves.
Some 63% of shoppers believe availability is worse in convenience stores.
Nick Archer, managing director of convenience and consumer at DHL Supply Chain, said: “The research shows that even small stock gaps can have a significant impact on how shoppers feel about a retailer.
“Despite the pressure on shoppers’ wallets, loyalty is being driven by more than price.
“In a market where customers can switch stores with ease, availability is much more than an operational metric. Being competitive in today’s market requires precision.”
Retail Economics chief executive Richard Lim said: “In today’s environment of busy lifestyles, hybrid working and smaller, more frequent shopping trips, customers expect to find what they need quickly and easily.
“This is not only limited to grocery, but in all retail sectors, from fashion to beauty.
“Convenience comes down to having products there when the customer needs them, and availability has become the clearest sign of reliability.
“Retailers who get it right will be the ones who earn trust and lasting loyalty.”
Business
Shree Ram Twistex IPO Lists At 30% Discount, Clean Max Falls 20% In Debut Trade: Should You Buy, Sell Or Hold?
Last Updated:
Shares of Shree Ram Twistex Ltd and Clean Max Enviro Energy Solutions Ltd make lacklustre stock market debuts on March 2.
IPO Listings of Shree Ram Twistex Ltd and Clean Max Enviro Energy Solutions Ltd.
Shares of Shree Ram Twistex Ltd and Clean Max Enviro Energy Solutions Ltd made lacklustre stock market debuts on March 2, listing at steep discounts to their issue prices amid a sharp broader market sell-off triggered by escalating geopolitical tensions in the Middle East.
At 01:57 pm, the Sensex tumbled over 1,800 points, slipping below the 79,500 level; meanwhile, Nifty dropped below the 24,650 level.
Shree Ram Twistex lists at sharp discount
Shree Ram Twistex opened at Rs 68 on NSE, down 34.61% from its issue price of Rs 104, and at Rs 70 on BSE, marking a decline of 32.69%. The company’s market capitalisation stood at Rs 275.83 crore after listing.
Despite the weak debut, the IPO had seen strong investor demand, receiving 43.66 times subscription. The Rs 110.24-crore issue was entirely a fresh issue of up to 1.06 crore shares priced in the Rs 95-104 band.
Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, said, “The muted listing reflects cautious sentiment and possible profit booking, even though the IPO was subscribed 43.66 times, with very strong demand in the retail and NII categories.”
She added that proceeds will be used for captive solar and wind power plants, debt repayment, and working capital support, which could lower energy costs over time.
“Volatility may persist in the short term. High-risk investors can consider holding with a strict stop loss at Rs 60. Fresh entry is advisable only after the stock shows signs of stability and buying support,” she said.
Clean Max falls sharply after listing
Clean Max Enviro Energy Solutions listed at Rs 960 on NSE, an 8.83% discount to its upper price band of Rs 1,053, and at Rs 952.20 on BSE, down 9.57%. During the session, the stock dropped as much as about 20% from its opening levels. The firm’s market valuation stood at Rs 10,111.54 crore.
The Rs 3,100-crore IPO saw moderate demand, getting subscribed 94%. The issue comprised a fresh issue worth Rs 1,200 crore and an offer-for-sale of Rs 1,900 crore.
Nyati said, “While the long term business outlook remains structurally positive, the weak listing indicates near term caution and limited immediate upside visibility.”
She advised caution for investors: “Allottees may hold if risk appetite is high but should maintain a strict stop loss at Rs 900. Fresh investors are advised to wait for price stability and strong demand support before considering new positions.”
Business fundamentals vs listing sentiment
Shree Ram Twistex manufactures cotton yarn, while Clean Max operates in the renewable energy solutions space, providing solar, wind, hybrid power and carbon credit services for commercial and industrial clients.
Analysts note that weak listing performance does not necessarily reflect long-term fundamentals, particularly when broader market sentiment is risk-averse. However, steep listing discounts often indicate either aggressive IPO pricing or short-term liquidity pressure.
Should investors buy, sell or hold?
For Shree Ram Twistex, experts suggest only high-risk investors consider holding with tight risk management, while new investors should wait for price discovery. For Clean Max, the recommendation is similar: hold only if risk appetite is high and avoid fresh positions until stability returns.
In both cases, analysts stress that listing day performance should not be the sole investment metric; sustained earnings visibility, balance-sheet strength and institutional participation over the coming quarters will determine whether these stocks recover or continue to lag.
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March 02, 2026, 14:42 IST
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