by The India biofuels market comprises of bioethanol and biodiesel which are increasingly being used as an alternative to conventional fossil fuels. Biofuels offer reduced greenhouse gas emissions along with the advantages of being renewable, non-toxic and biodegradable. Bioethanol is mainly produced from sugarcane and biodiesel is obtained from non-edible oils such as jatropha, karanja and palm oil.
The Government of India Biofuels has implemented vigorous policies and regulation to promote the production and usage of biodiesel and bioethanol across industries and transportation sector.
India Biofuels Market is estimated to be valued at US$ 2.56 Bn in 2024 and is expected to exhibit a CAGR of 22% over the forecast period 2024-2031.
Key Takeaways
Key players operating in the India biofuels market are Reliance Industries, Indian Oil, Bharat Petroleum, Hindustan Petroleum, and Tata Chemicals. These key players are investing heavily in setting up commercial production facilities and diversifying into new feedstocks.
Growing environmental concerns regarding carbon emissions from fossil fuels along with government incentives and policies are fueling the demand for biofuels in the country. India has set an ambitious target of achieving 20% ethanol blending in gasoline by 2025.
Rising global crude oil prices and geopolitical issues emphasize the need for alternative fuels. This is encouraging Indian companies to expand biodiesel production facilities globally and import biofuels to cater to the domestic demand.
Market Key Trends
One of the key emerging trends in the India biofuels market is the increasing emphasis on advanced biofuels obtained from non-edible feedstocks such as agricultural waste. Companies are conducting extensive R&D to develop technologies for producing cellulosic ethanol and algal biodiesel on a large commercial scale. This will help address issues related to food security and land use associated with first-generation biofuels. International collaborations played a vital role to accelerate advance biofuel production capabilities in India.
Porter’s Analysis
Threat Of New Entrants: High capital requirements for biofuel production plants make entry difficult for new players.
Bargaining Power Of Buyers: Large fuel companies have more bargaining power over smaller biofuel producers.
Bargaining Power Of Suppliers: Biofuel producers do not depend on a few suppliers for raw materials like sugarcane, grains etc.
Producers can source from multiple farmers. Threat of new substitutes: Alternate fuels like CNG and LNG pose threat to biofuel market growth. Petrol and diesel still dominate transportation fuel segment.
Competitive Rivalry: Major fuel companies compete intensely to gain market share in transportation fuel segment.
Geographical Regions
North India accounts for the largest share of India’s biofuels market in terms value, led by states like Uttar Pradesh and Punjab that have large sugarcane and wheat cultivation. Southern India is the fastest growing region for biofuels market led by states like Karnataka and Tamil Nadu that are promoting ethanol blending through innovative policy initiatives and investments in second generation biofuel technologies.
What Are The Key Data Covered In This India Biofuels Market Report?
:- Market CAGR throughout the predicted period
:- Comprehensive information on the aspects that will drive the India Biofuels’s growth between 2024 and 2031.
:- Accurate calculation of the size of the India Biofuels and its contribution to the market, with emphasis on the parent market
:- Realistic forecasts of future trends and changes in consumer behaviour
:- India Biofuels Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa
:- A complete examination of the market’s competitive landscape, as well as extensive information on vendors
:- Detailed examination of the factors that will impede the expansion of India Biofuels vendors
FAQ’s
Q.1 What are the main factors influencing the India Biofuels?
Q.2 Which companies are the major sources in this industry?
Q.3 What are the market’s opportunities, risks, and general structure?
Q.4 Which of the top India Biofuels companies compare in terms of sales, revenue, and prices?
Q.5 Which businesses serve as the India Biofuels’s distributors, traders, and dealers?
Q.6 How are market types and applications and deals, revenue, and value explored?
Q.7 What does a business area’s assessment of agreements, income, and value implicate?
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Money Singh
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. LinkedIn Profile
