Indian Biomass and Briquette Market: Examining Price Movements and the Expanding Transition to Biofuel Options
India’s green energy sector is undergoing swift transformation, with biomass playing a significant role in the nation’s eco-friendly power strategy. The rising adoption of bio-fuel briquettes and other forms of eco energy has created a dynamic market for producers, traders, and consumers alike. In recent years, the briquettes price per kg has become a key factor influencing industrial fuel choices, especially as industries look for affordable, sustainable substitutes to coal and other fossil fuels.
The growing emphasis on cleaner energy has boosted the demand for compressed biomass briquettes—a densified, eco-friendly fuel derived from agricultural waste, sawdust, and other organic residues. As India works toward its renewable energy targets, renewable solid fuels are playing a pivotal role in cutting greenhouse gas output and promoting decentralised energy generation, particularly for village-based enterprises and small factories.
Understanding Biomass and Its Role in India’s Energy Sector
Biomass potential in India includes numerous organic sources available from farmlands, forests, and biodegradable waste. With over 500+ million tonnes of agro-residues available yearly, the country holds huge potential for biomass utilisation in power generation and thermal energy. This resource can be converted into various forms of energy such as briquettes and pellets as well as bio-oil and biogas, thereby providing sustainable alternatives to coal and petroleum-based fuels.
Biomass energy is particularly beneficial for industries that rely on continuous heat generation—such as cement plants, textile mills, and food factories. These sectors have increasingly turned to bio mass briquettes as a sustainable and affordable option for traditional fuels. In addition to minimising pollution, the widespread use of biomass creates rural job opportunities and adds value to farm by-products that would otherwise go to waste.
Manufacturing and Material Structure of Briquette Coal
Briquette coal is manufactured through high-pressure densification such as farm residues, sawdust, and organic materials into compressed shapes of uniform size. The process reduces moisture to increase energy content, making it suitable for industrial boilers and furnaces. These briquettes are uniform in size, easy to transport, and generate minimal ash content, ensuring cleaner combustion compared to traditional coal.
Depending on the raw input, briquette coal can be categorised into biomass briquettes, bio coal, or mixed blends. While standard briquettes rely fully on organic matter, bio coal briquettes often contain a small portion of carbonised material to increase heat output. Their heating value typically ranges from 3500 to 5000 kcal/kg, depending on the feedstock type and compaction level.
Briquette Price Trends Across India
The price of biomass briquettes per kg in India is influenced by several key factors, including raw material availability, regional demand, transportation costs, and seasonal variations. In states with strong agro bases like Maharashtra, Punjab, and Haryana, the ready supply of biomass feedstock keeps prices competitive. In contrast, cities and industrial belts where raw materials need to be transported from rural regions tend to experience price escalation.
On average, the price of biomass briquettes typically falls in the ?6–?10/kg range, depending on calorific value and production efficiency. During times of biomass surplus, when supply is abundant, prices tend to remain steady. However, in rainy seasons or energy-demand surges, prices may fluctuate upward from supply constraints. Despite these variations, briquettes remain an economical alternative to coal, which can cost much higher per thermal unit.
Biomass Briquettes vs Conventional Coal
The shift from coal to biomass briquettes offers multiple advantages in terms of clean energy transition and cost control. Briquettes emit fewer pollutants and toxic gases, which helps industries maintain green standards. Their uniform size ensures consistent combustion, reducing equipment maintenance and improving energy output. Moreover, briquettes are renewable and carbon-neutral, as the carbon dioxide released during combustion is offset through photosynthesis.
In contrast, coal burning leads to higher carbon levels, and long-term air quality decline. Its extraction briquettes price per kg and transportation processes are also highly polluting and resource-draining. By replacing even a portion of coal usage in factories with bio-briquettes, India can greatly reduce emissions while encouraging domestic biomass industries.
Biomass in India: Policy Support and Market Growth
Government initiatives have significantly contributed in developing India’s biomass energy base. 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 bioenergy projects and briquette industries 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 achieving net-zero emissions by 2070, biomass energy is positioned as a key component of India’s sustainable energy roadmap. The creation of structured biomass markets has further enhanced transparency and accessibility, enabling smoother trade operations.
Obstacles Affecting India’s Biomass Briquette Sector
Despite its strong potential, the biomass briquette sector faces several barriers. Inconsistent residue supply across seasons can lead to variability in supply. The inconsistent heating efficiency also reduces buyer confidence. In some regions, supply chain inefficiencies increase the overall cost of delivery, making coal a temporary but less sustainable choice.
Furthermore, insufficient education on biomass advantages remains a barrier to widespread adoption. Addressing these issues through enhanced production systems and policy support could help build resilience in the coming years.
Advantages of Using Biomass 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 reduce deforestation, curb greenhouse gas emissions, and minimise waste burning.
As the market expands and develops, innovations in processing efficiency and drying techniques are expected to make production more efficient and affordable. The establishment of decentralised briquette production units near agricultural zones can further stabilise supply throughout the year.
Summary
India’s biomass sector represents a critical opportunity 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 sustained advantages surpass temporary challenges. With ongoing technological development and government backing, India is on track to make biomass a cornerstone of its green energy future.