May 23, 2024
Biomass Solid Fuel Market

Biomass Solid Fuel Market is Poised for Strong Growth Due to Rising Demand for Renewable Energy Sources

The biomass solid fuel market comprises solid biomass materials such as firewood, wood pellets, wood chips or bark that are designed to generate heat through direct combustion. Fuel in solid biomass form provides advantages such as easy handling, transportation and storage of fuel along with clean burning properties. The growing emphasis on replacing fossil fuels with renewable sources to mitigate environmental impact has been a major factor driving the demand for biomass solid fuel.

The Global biomass solid fuel market is estimated to be valued at US$ 3.14 BN in 2024 and is expected to exhibit a CAGR of 8.5% over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the Biomass Solid Fuel Market Size are Sanofi, Pfizer, GlaxoSmithKline, Merck, AstraZeneca, Johnson & Johnson, F. Hoffmann-La Roche, Novartis, Cipla, Gilead Sciences. The major players are focusing on capacity expansion plans and product launches to strengthen their market position.

The rising demand for renewable sources of energy from industries and commercial sector presents significant growth opportunities in the market. Governments across various countries are offering subsidies and tax incentives to promote usage of biomass solid fuel which is further encouraging its adoption.

Asia Pacific region is expected to witness fastest growth in demand for biomass solid fuel during the forecast period owing to increasing investments in renewable power projects and rising renewable energy targets set by countries like China and India.

Market Drivers

Stringent environmental regulations regarding emission of greenhouse gases are a key factor driving the demand for cleaner solid biomass fuels. The Biomass Solid Fuel Market Size produces 80-90% lesser greenhouse gas emissions as compared to coal. Growing emphasis on utilizing waste-to-energy technologies to produce energy while managing municipal solid wastes effectively is expected to boost the market growth over the forecast period.

PEST Analysis

Political: Government policies and regulations regarding the usage and production of biomass solid fuel. This includes subsidies and tax incentives provided by governments to promote the use of renewable sources of energy.

Economic: Factors such as rising energy costs, fluctuating fuel prices and increasing energy needs are driving the growth of the biomass solid fuel market. The solid biomass fuel offers a cost-effective alternative to conventional fossil fuels.

Social: Growing environmental concerns and increasing awareness about the limited nature of fossil fuels are influencing people to shift towards eco-friendly and sustainable sources of energy like biomass.

Technological: Advanced technologies are being developed for efficient conversion of biomass into solid, liquid and gaseous fuels. Technologies like gasification and pyrolysis are allowing effective utilization of various types of biomass for energy production. New technologies are also improving the logistics and supply chain of biomass fuels.

Geographical regions with high market concentration

The biomass solid fuel market in terms of value is highly concentrated in regions with abundant biomass resources and supportive government policies like Europe, Asia Pacific and North America. Europe accounts for over 30% of the global market due to strong government support for renewables in countries like Germany, France and UK.

Fastest growing region

Asia Pacific region is poised to be the fastest growing market for biomass solid fuel during the forecast period. This is attributed to factors like rapid industrialization, growing energy needs of emerging economies, focus on developing indigenous and renewable sources of energy. Countries such as China, India and Japan are expected to drive the future demand for biomass solid fuel in Asia Pacific.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it