The Pakistan Ethanol Manufacturers Association (PEMA) was established in 2008. The Association comprises of 20 ethanol distilleries operating in Punjab, Sindh & Khyber Pakhtunkhawa. PEMA is loosely knit allowing its members to remain active under provincial zones. Pakistan Ethanol Manufacturers Association is playing a pivotal role in promoting the development and attaining efficiency in the best interest of the ethanol industries within the parameters and policy of the Government of Pakistan.

Ethanol is the end product of the tertiary stage of production of the biofuel sector. The process includes
(i) sugarcane production,
(ii) sugar refining
(iii) conversion of molasses into biofuels. Biofuels can easily replace or blended with fossil fuels such as petrol and diesel. Ethanol is mostly known as the alcohol present in alcoholic beverages.  Pakistan is the one of the largest Ethanol producers in the world.