India Biodiesel Market Report by Application (Fuel, Power Generation, Others), Feedstock (Vegetable Oil, Animal Fats), and Company Analysis 2024-2032

India Biodiesel Market Report by Application (Fuel, Power Generation, Others), Feedstock (Vegetable Oil, Animal Fats), and Company Analysis 2024-2032

India Biodiesel Market size is expected to be about US$ 634.8 million by 2032. The CAGR for the India biodiesel market from 2024 to 2032 is 8.11%. Renub Research stated that it amounted to US$ 314.7 million in 2023.

An alternative fuel called biodiesel is created by mixing organic oil with alcohol. It can replace conventional petroleum products as an energy source for automobiles and industrial uses. Supporters point to biodiesel's advantages over diesel regarding environmental sustainability and fire safety. The U.S. Department of Energy states that biodiesel is a reasonably efficient energy source because it is made from soybeans and produces about 4.56 units for every unit of fossil fuel used over its life cycle. The IEA estimated solid growth in gasoline and diesel use, more stringent government regulations in India, and increased requirements for biodiesel blending in Indonesia. This will all contribute to the Asia and Pacific region's continued 9% and 12% rise in biofuel demand in 2022 and 2023, respectively.

India Biodiesel Market Growth Opportunities
• Growing need in the transportation sector for biodiesel

The expanding energy demand in India results from population growth and rapid economic development. India's third-highest user of total final energy is the road transportation sector, which is nearly solely dependent on petroleum oil. According to a ScienceDirect article, India is expected to have 411.8 million vehicles in operation by 2030, with 260.1 million and 34.6 million being gasoline- and diesel-powered cars, respectively. The demand for gasoline and diesel fuels will rise dramatically from the current level by 2030, and India will have to deal with the ensuing problems. India must use biofuels, including biodiesel, in the transportation sector to reduce the impact of these fuels. The India biodiesel market is anticipated to grow as a result.
• Concentration on Lowering Crude Oil Imports

India is the third-biggest oil consumer in the world, after the US and China. The nation's need for oil is increasing every year. As a result, the country is highly dependent on crude oil imports. India bought 212.2 million tonnes of crude oil in 2021–2022, up from 196.5 million tonnes the year before, as stated by the Petroleum Planning and Analysis Cell (PPAC). During the April 2022–2023 period, the dependency on oil imports was approximately 86.4%, compared to 85.9% during the same period last year. Increased import costs for crude oil are anticipated to impact macroeconomic indicators negatively. An excellent substitute for imported fossil fuels is biofuels. As a result, the biodiesel market in India is expanding. The government also undertakes several measures to lessen its reliance on imported crude oil. For example, the Indian government supports the Ethanol Blending Programme (EBP) to lower carbon emissions, increase farmer incomes, and lessen the nation's reliance on crude oil imports. The government has moved the deadline for blending 20% ethanol (E20) into gasoline from 2030 to 2025.
• Initiatives and Policies of the Government

India has implemented several legislative measures to support its energy needs, restrict oil imports, and promote the production and use of biodiesel. This drives the biodiesel market in India. The National Standards Body of India, the Bureau of Indian Standards (BIS), pledges to create pertinent standards to support the nation's green objectives. Indian Standards would greatly help the goals of the Global Biofuel Alliance (GBA), a multilateral organization, according to a statement made by BIS and Prime Minister Narendra Modi during the recent G20 leaders' summit in New Delhi. The government has established several notable initiatives to support the growth of biofuels in India, including the SATAT plan to enhance the production of Compressed Biogas (CBG) in India and Viable Gap Funding (VGF) for 2G bioethanol under the Pradhan Mantri JI-VAN Yojana.

India Biodiesel Industry News

The India biodiesel market comprises Archer Daniels Midland Company, FutureFuel, Neste’s, Renewable Energy Group, Inc., Bunge Global SA, Wilmar, and Shell.

In September 2023 - More than a year ahead of schedule, Aemetis reported that its Universal Biofuels subsidiary had successfully expanded the yearly production capacity of its biodiesel plant in India to 60 million gallons. India's government-owned Oil Marketing Companies (OMCs) will benefit from this supply as their demand for biodiesel grows.
In December 2022 - Kotyark Industries Limited acquired Yamuna Bio Energy Private Limited under an amalgamation strategy.
In December 2021 - Indian Oil sent LRE Petroleum a letter of intent (LOI) to establish a biodiesel production facility in India. LRE Petroleum anticipates using used cooking oil (UCO) to create at least 4 million liters of biodiesel (B-100) annually. The carbon emissions from biodiesel are 78% lower than those from regular diesel. Ideally situated in Karnal, Haryana, India, the biodiesel facility will be supported by LRE's new 1,700-tonne annual compressed biogas plant, which is scheduled to come online by the end of March 2022.

Application – Market breakup in 3 viewpoints:

1. Fuel
2. Power Generation
3. Others

Feedstock – Market breakup in 2 viewpoints:

1. Vegetable Oil
2. Animal Fats

All the Key players have been covered from 3 Viewpoints:
• Overview
• Recent Development
• Revenue Analysis

Company Analysis:

1. Archer Daniels Midland Company
2. FutureFuel
3. Neste’s
4. Renewable Energy Group, Inc.
5. Bunge Global SA
6. Wilmar
7. Shell