Indian Biomass and Briquette Market: Examining Price Movements and the Expanding Transition to Biofuel Options
The renewable energy domain in India is witnessing rapid evolution, with biomass becoming a major pillar 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 industries and small-scale manufacturing units.
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 utilisation in power generation and thermal energy. 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 manufactured through high-pressure densification such as crop residues, wood shavings, and other biodegradable waste into compressed shapes of uniform size. The process eliminates moisture and enhances the calorific value, making it suitable for high-demand industrial use. These briquettes are uniform in size, easy to transport, and generate minimal ash content, ensuring eco-friendly burning and less residue.
Depending on the raw input, briquette coal can be categorised into biomass briquettes, bio coal, or mixed blends. While pure biomass briquettes use only non-carbonised residue, hybrid 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 cost of briquette fuel per kilogram in India is influenced by several core variables, including raw material availability, regional demand, transportation costs, and seasonal variations. In agricultural states such as Maharashtra, Punjab, Haryana, and Uttar Pradesh, the ready supply of biomass feedstock keeps manufacturing affordable. In contrast, urban and industrial areas where raw materials need to be transported from rural regions tend to experience higher pricing.
On average, the price of biomass briquettes ranges between ?6 and ?10 per kilogram, depending on calorific value and production efficiency. During harvest periods, when supply is abundant, prices tend to be more affordable. However, in off-seasons or when transport challenges arise, prices may fluctuate upward from supply constraints. Despite these variations, briquettes remain an economical alternative to coal, which can cost significantly more per unit of heat energy produced.
Comparing Biomass Briquettes and Traditional Coal
The shift from coal to biomass briquettes offers multiple benefits in terms of environmental sustainability and operational efficiency. Briquettes generate minimal smoke and ash, which helps industries meet environmental regulations. Their uniform size ensures consistent combustion, reducing operational downtime. Moreover, briquettes are eco-renewable and emission-balanced, as the carbon dioxide released during combustion is reabsorbed by new plant growth.
In contrast, conventional coal fuels add to major pollution, air pollution, and environmental degradation. Its production and supply chain are also energy-intensive and harmful to ecosystems. By replacing even a portion of coal usage in factories with bio-briquettes, India can significantly cut its carbon footprint 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 renewable energy, carbon reduction, and rural employment have motivated businesses to switch to bioenergy. The briquettes price per kg 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 financial incentives for companies using biomass fuels. 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 online biofuel exchanges and transparent trade systems has further improved efficiency and reach, enabling fair market participation.
Obstacles Affecting India’s Biomass Briquette Sector
Despite its rapid progress, the biomass briquette sector faces several limitations. 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 cheaper short-term alternative.
Furthermore, limited awareness about the long-term economic and environmental benefits remains a major limitation. 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 mass briquettes provides both commercial and green advantages. For industries, using briquettes minimises expenses and regulatory risks. On a macroeconomic level, it supports local economies by creating demand for agricultural residues and offering new income streams for farmers. Environmentally, briquettes help combat climate change and improve air quality.
As the market expands and develops, innovations in briquetting technology, moisture control, and waste utilisation are expected to make production cheaper and faster. The establishment of decentralised briquette production units near agricultural zones can further cut logistic expenses and improve accessibility.
Summary
The nation’s biomass industry stands as a key pillar for balancing sustainability with inclusive progress. The increasing demand for briquette coal and biomass briquette fuel 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.