NEW DELHI (Reuters) - India's plans to blend 20% ethanol with petrol from April 2023 will help cut sugar export subsidies, Oil Secretary Tarun Kapoor told reporters on Thursday.

       India on Wednesday approved a proposal to achieve 20% ethanol-blending with gasoline by 2025, five years ahead of its previous target.

       Higher ethanol output will cut India's sugar production, reducing the need to give incentives for the export of the sweetener.

       (This story was refiled to add source in headline)

       (Reporting by Nidhi Verma; Editing by Toby Chopra)

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