PLANS to establish an ethanol production plant in the Western Division are continuing with the Fiji Sugar Corporation working in partnership with the Energy Department to identify a consultant.
FSC executive chairman Abdul Khan said the diversification project was part of the corporation's move to establish more revenue streams.
"This is part of plans to move the industry from the sugar industry to the sugarcane industry," he said.
"At the moment we are hoping to, within a fortnight, engage a consultant to carry out a detailed project report.
"This will determine how much we require in capital costs and also to do a financial economic exercise to determine viability."
Mr Khan, however, said plans to establish a refinery were shelved because of their non-viability from an economic perspective.
"Rather than go into a huge capital investment, we will take our raw sugar to refiners because there is an overcapacity of refiners in the world.
"We always have to do a cost benefit exercise and determine what's best for the FSC and Fiji."
Since taking the helm at the FSC in 2010, Mr Khan has laid out diversification plans to extend revenue streams for the country's only sugar miller in a bid to revitalise.
Cogeneration plants are being established at Rarawai and Labasa as part of the diversification and expansion exercise.