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 sustainable energy mix. The rising adoption of bio-fuel briquettes and other forms of bio-based fuel has created a vibrant marketplace for manufacturers, suppliers, and users alike. In recent years, the briquettes price per kg has become a significant factor affecting fuel procurement decisions, especially as industries pursue affordable, sustainable substitutes to coal and other fossil fuels.
The growing emphasis on cleaner energy has accelerated the demand for briquette coal—a densified, eco-friendly fuel derived from agricultural waste, sawdust, and other organic residues. As India advances in achieving its renewable energy targets, renewable solid fuels are playing a important role in lowering pollution levels and promoting self-sufficiency in energy, particularly for rural production sectors.
What Biomass Means and How It Supports India’s Energy Goals
India’s biomass resources refers to the vast range of organic materials available from crop residues and organic matter. With over 500+ million tonnes of agro-residues available yearly, the country holds huge potential for biomass-based power and heat production. This resource can be converted into different usable fuels such as briquettes, pellets, biochar, and biogas, thereby providing sustainable alternatives to coal and petroleum-based fuels.
Industries needing consistent thermal output benefit greatly from biomass fuel—such as manufacturing, textile, and agro-processing sectors. These sectors have increasingly turned to bio mass briquettes as a clean-burning, cost-efficient replacement for traditional fuels. In addition to lowering carbon footprints, the widespread use of biomass contributes to rural employment and enhances the value of agricultural residues that would otherwise go to waste.
Manufacturing and Material Structure of Briquette Coal
Biomass briquette fuel is created by compacting dry biomass such as farm residues, sawdust, and organic materials into solid cylindrical or rectangular blocks. The process eliminates moisture and enhances the calorific value, making it suitable for large-scale industrial applications. These briquettes are uniform in size, easy to transport, and generate minimal ash content, ensuring eco-friendly burning and less residue.
Depending on the source material, briquette coal can be classified as biomass, biocoal, or hybrid briquettes. While standard briquettes rely fully on organic matter, 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 organic mix and manufacturing process.
Analysing Briquettes Price per Kg in India
The briquettes price per kg 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 abundance of crop residues like rice husk and sugarcane bagasse keeps prices competitive. In contrast, urban and industrial areas where raw materials need to be brought from distant rural areas tend to experience price escalation.
On average, the price of biomass briquettes typically falls in the ?6–?10/kg range, depending on heat value and quality control. During peak agricultural seasons, when supply is abundant, prices tend to remain steady. However, in monsoon months or during high-demand industrial periods, prices may increase because of briquette coal shortages and logistical delays. Despite these variations, briquettes remain cheaper than most fossil fuels, which can cost much higher per thermal unit.
Comparing Biomass Briquettes and Traditional Coal
The substitution of coal with bio mass briquettes offers multiple advantages in terms of clean energy transition and cost control. Briquettes generate minimal smoke and ash, which helps industries comply with emission norms. Their standardised form enhances boiler efficiency, reducing machine wear and boosting performance. 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, and long-term air quality decline. 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 advancing renewable biofuel markets. Policies promoting sustainability and job creation have encouraged industries to adopt biomass-based fuels. The Ministry of New and Renewable Energy (MNRE) has supported the development of biomass power plants and briquetting units through subsidies and financial assistance programs.
Additionally, carbon trading programs and RPO compliance rules have provided monetary benefits to eco-conscious industries. With the government’s focus on long-term decarbonisation goals, biomass energy is recognised as an essential pillar of India’s sustainable energy roadmap. The creation of organised marketplaces and digital trading platforms has further enhanced transparency and accessibility, enabling buyers and sellers to connect more efficiently.
Challenges Facing the Biomass Briquette Market
Despite its rapid progress, the biomass briquette sector faces several limitations. Fluctuating feedstock availability can lead to unstable output rates. The lack of standardisation in quality and calorific value also hampers market reliability. In some regions, supply chain inefficiencies increase the final price for end-users, making coal a more attractive in the short term.
Furthermore, insufficient education on biomass advantages remains a major limitation. Addressing these issues through upgraded logistics, standard guidelines, and public outreach could help stabilise the market and ensure sustainable growth.
Advantages of Using Biomass Briquettes
The adoption of biomass briquettes provides both commercial and green advantages. For industries, transitioning to biomass lowers operational expenditure and emission costs. On a national scale, it enhances farmer earnings through residue monetisation. Environmentally, briquettes reduce deforestation, curb greenhouse gas emissions, and minimise waste burning.
As the market continues to mature, innovations in machinery design and feedstock management are expected to make production cheaper and faster. The establishment of rural briquette hubs can further cut logistic expenses and improve accessibility.
Conclusion
India’s biomass sector represents a critical opportunity for achieving sustainable energy goals while addressing rural economic development. The increasing demand for biomass fuel and compressed bio briquettes reflects a shift toward renewable energy alternatives. Although the biomass briquette cost 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, biomass energy is set to become one of the key pillars of India’s renewable energy future.