Biomass & Briquette Market in India: Exploring Price Patterns and the Nation’s Increasing Move Toward Biofuel Solutions
India’s green energy sector is undergoing swift transformation, with biomass emerging as a key contributor in the nation’s clean energy portfolio. The rising adoption of bio-fuel briquettes and other forms of eco energy has created a growing sector for producers, traders, and consumers alike. In recent years, the briquettes price per kg has become a significant factor influencing industrial fuel choices, especially as industries seek low-cost, environment-friendly options to coal and other fossil fuels.
The rising awareness of clean fuel usage has boosted the demand for briquette coal—a densified, eco-friendly fuel derived from agricultural waste, sawdust, and other organic residues. As India works toward its renewable energy targets, bio-based energy sources are playing a important role in reducing carbon emissions and promoting self-sufficiency in energy, particularly for rural industries and small-scale manufacturing units.
Understanding Biomass and Its Role in India’s Energy Sector
Biomass in India refers to the vast range of organic materials available from crop residues and organic matter. With over 500 million tonnes of agricultural residue generated annually, the country holds huge potential for biomass utilisation in power generation and thermal energy. This resource can be converted into multiple energy formats such as solid, liquid, and gaseous biofuels, thereby providing sustainable alternatives to coal and petroleum-based fuels.
Industries needing consistent thermal output benefit greatly from biomass fuel—such as cement, textile, and food processing units. These sectors have increasingly turned to biomass briquettes as a clean-burning, cost-efficient replacement for traditional fuels. In addition to lowering carbon footprints, the widespread use of biomass supports local livelihoods and adds value to farm by-products that would otherwise go to waste.
Production and Composition of Briquette Coal
Briquette coal is manufactured through high-pressure densification such as agricultural and forestry waste into solid cylindrical or rectangular blocks. The process reduces moisture to increase energy content, making it suitable for industrial boilers and furnaces. These briquettes are consistent in shape, portable, and produce very little ash, ensuring a more efficient and cleaner burn.
Depending on the source material, briquette coal can be classified as biomass, biocoal, or hybrid briquettes. While standard briquettes rely fully on organic matter, bio coal briquettes often contain a small portion of charcoal to enhance calorific value. Their heating value typically ranges from about 3500–5000 kcal per kilogram, depending on the organic mix and manufacturing process.
Analysing Briquettes Price per Kg in India
The briquettes price per kg in India is influenced by several key factors, 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, urban and industrial areas where raw materials need to be transported from rural regions tend to experience increased costs.
On average, the price of biomass briquettes varies from ?6 to ?10/kg, depending on energy output and input cost. During harvest periods, when supply is abundant, prices tend to stabilise. However, in rainy seasons or energy-demand surges, prices may increase because of shortages and logistical delays. Despite these variations, briquettes remain a cost-effective fuel compared to traditional coal, which can cost much higher per thermal unit.
How Biomass Briquettes Differ from Traditional Coal
The shift from coal to biomass briquettes offers multiple gains in terms of eco performance and production reliability. Briquettes burn more cleanly, producing less sulphur dioxide and particulate matter, which helps industries comply with emission norms. Their standardised form enhances boiler efficiency, reducing machine wear and boosting performance. Moreover, briquettes are renewable and carbon-neutral, as the carbon dioxide released during combustion is balanced naturally through vegetation cycles.
In contrast, conventional coal fuels add to major pollution, air pollution, and environmental degradation. Its extraction and transportation processes are also destructive to land and wildlife. By replacing even a portion of coal demand through renewable substitutes, India can move closer to net-zero goals while encouraging domestic biomass industries.
Policies and Growth Drivers for Biomass Energy in India
Government initiatives have played a major role in advancing renewable biofuel markets. Policies promoting clean fuel adoption and emission reduction have encouraged industries to adopt biomass-based fuels. The national renewable energy authorities has supported the development of biomass generation facilities through grants and funding initiatives.
Additionally, green energy credits and policy mandates have provided economic motivation for clean-fuel users. With the government’s focus on long-term decarbonisation goals, biomass energy is positioned as a key component of India’s sustainable energy roadmap. The creation of structured biomass markets has further simplified procurement and pricing, enabling buyers and sellers to connect more efficiently.
Obstacles Affecting India’s Biomass Briquette Sector
Despite its rapid progress, the biomass briquette sector faces several challenges. briquette coal Seasonal variations in raw material supply can lead to unstable output rates. The absence of uniform product standards also hampers market reliability. In some regions, distance from raw material sources increase the end-market expense, making coal a more attractive in the short term.
Furthermore, low awareness among industrial users remains a key challenge for expansion. Addressing these issues through enhanced production systems and policy support could help build resilience in the coming years.
Economic and Ecological Value of Biofuel Briquettes
The adoption of biomass briquettes 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 expands and develops, innovations in briquetting technology, moisture control, and waste utilisation are expected to make production more efficient and affordable. The establishment of decentralised briquette production units near agricultural zones can further cut logistic expenses and improve accessibility.
Final Thoughts
India’s renewable fuel sector offers a major chance for meeting clean energy targets and supporting rural growth. The increasing demand for bio coal and bio mass briquettes reflects a country-wide movement toward sustainable energy use. Although the briquettes price per kg may vary across regions and seasons, the long-term benefits of using biomass as an energy source far outweigh short-term fluctuations. With continued investment, policy support, and innovation, India is on track to make biomass a cornerstone of its green energy future.