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Biomass and Briquette Market in India: Analysing Price Trends and the Growing Shift Toward Biofuel Alternatives
The renewable energy domain in India is witnessing rapid evolution, with biomass emerging as a key contributor in the nation’s eco-friendly power strategy. The rising adoption of bio mass briquettes and other forms of eco energy has created a vibrant marketplace for producers and industrial buyers. In recent years, the briquettes price per kg has become a significant factor affecting fuel procurement decisions, especially as industries look for low-cost, environment-friendly options to coal and other fossil fuels.
The rising awareness of clean fuel usage has driven the demand for compressed biomass briquettes—a sustainable solid fuel derived from agricultural waste, sawdust, and other organic residues. As India continues to pursue its renewable energy targets, biomass-based fuels are playing a pivotal role in reducing carbon emissions and promoting energy independence, particularly for rural production sectors.
Understanding Biomass and Its Role in India’s Energy Sector
Biomass potential in India includes numerous organic sources available from crop residues and organic matter. With over half a billion tonnes of crop waste produced each year, the country holds huge potential for biomass-based power and heat production. This resource can be converted into various forms of energy such as solid, liquid, and gaseous biofuels, thereby providing clean substitutes for conventional fossil fuels.
Industries needing consistent thermal output benefit greatly from biomass fuel—such as cement plants, textile mills, and food factories. These sectors have increasingly turned to bio-coal briquettes as a green, low-cost substitute for traditional fuels. In addition to lowering carbon footprints, the widespread use of biomass creates rural job opportunities and enhances the value of agricultural residues that would otherwise go to waste.
Manufacturing and Material Structure of Briquette Coal
Briquette coal is created by compacting dry biomass such as crop residues, wood shavings, and other biodegradable waste into dense fuel logs or blocks. The process eliminates moisture and enhances the calorific value, making it suitable for high-demand industrial use. These briquettes are compact, easy to handle, and ensure clean combustion, ensuring cleaner combustion compared to traditional coal.
Depending on the feedstock, briquette coal can be divided into various types like biomass or carbonised blends. While biomass briquettes are made purely from organic waste, carbonised briquettes often contain a small portion of charcoal to enhance calorific value. Their heating value typically ranges from 3,500–5,000 kcal/kg on average, depending on the composition and density of the material used.
Analysing Briquettes Price per Kg in India
The price of biomass briquettes per kg in India is influenced by several major determinants, including feedstock supply, logistics, and market trends. In key biomass-producing regions such as Punjab and Maharashtra, the easy access to agro-waste keeps prices competitive. In contrast, non-agricultural zones where raw materials need to be shipped over long distances tend to experience price escalation.
On average, the price of biomass briquettes varies from ?6 to ?10/kg, depending on energy output and input cost. During times of biomass surplus, when supply is abundant, prices tend to stabilise. However, in monsoon months or during high-demand industrial periods, briquettes price per kg prices may rise due to limited feedstock availability and increased transportation costs. Despite these variations, briquettes remain cheaper than most fossil fuels, which can cost much higher per thermal unit.
Biomass Briquettes vs Conventional Coal
The substitution of coal with bio mass briquettes offers multiple gains in terms of clean energy transition and cost control. Briquettes emit fewer pollutants and toxic gases, which helps industries maintain green standards. Their even density promotes stable burning, reducing equipment maintenance and improving energy output. Moreover, briquettes are derived from sustainable sources, as the carbon dioxide released during combustion is offset through photosynthesis.
In contrast, traditional coal contributes heavily to greenhouse gas emissions, climate damage and ecological loss. Its extraction and transportation processes are also highly polluting and resource-draining. By replacing even a portion of industrial coal consumption with biomass briquettes, India can greatly reduce emissions while supporting rural fuel economies.
Biomass in India: Policy Support and Market Growth
Government initiatives have been instrumental in expanding the biomass sector. Policies promoting clean fuel adoption and emission reduction have stimulated wider use of green fuels. The national renewable energy authorities has supported the development of biomass power plants and briquetting units through grants and funding initiatives.
Additionally, carbon trading programs and RPO compliance rules have provided monetary benefits to eco-conscious industries. With the government’s focus on achieving net-zero emissions by 2070, biomass energy is positioned as a key component of India’s long-term energy strategy. The creation of online biofuel exchanges and transparent trade systems has further improved efficiency and reach, enabling smoother trade operations.
Barriers and Issues in the Biomass Briquette Industry
Despite its rapid progress, the biomass briquette sector faces several challenges. Fluctuating feedstock availability can lead to unstable output rates. The absence of uniform product standards also reduces buyer confidence. In some regions, logistical bottlenecks and transportation costs increase the final price for end-users, making coal a cheaper short-term alternative.
Furthermore, low awareness among industrial users remains a major limitation. Addressing these issues through upgraded logistics, standard guidelines, and public outreach could help strengthen sectoral confidence and expansion.
The Economic and Environmental Benefits of Bio Mass Briquettes
The adoption of bio-coal fuel provides both economic and environmental gains. For industries, transitioning to biomass lowers operational expenditure and emission costs. On a macroeconomic level, it enhances farmer earnings through residue monetisation. Environmentally, briquettes limit forest depletion, lower carbon impact, and control air pollution.
As the market grows steadily, innovations in machinery design and feedstock management are expected to make production smoother and cost-effective. The establishment of rural briquette hubs can further stabilise supply throughout the year.
Conclusion
India’s renewable fuel sector offers a major chance for achieving sustainable energy goals while addressing rural economic development. The increasing demand for bio coal and compressed bio briquettes reflects a nationwide transition toward cleaner and more affordable fuels. Although the biomass briquette cost may differ by area and timing, the long-term benefits of using biomass as an energy source far outweigh short-term fluctuations. With ongoing technological development and government backing, biomass will play a defining role in India’s clean energy era.