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Biomass & Briquette Market in India: Exploring Price Patterns and the Nation’s Increasing Move Toward Biofuel Solutions
India’s renewable energy landscape is rapidly evolving, with biomass playing a significant role in the nation’s clean energy portfolio. The rising adoption of biomass briquettes and other forms of renewable fuel has created a dynamic market for manufacturers, suppliers, and users alike. In recent years, the cost per kilogram of briquettes has become a key factor influencing industrial fuel choices, especially as industries pursue 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 advances in achieving its renewable energy targets, renewable solid fuels are playing a pivotal role in cutting greenhouse gas output and promoting self-sufficiency in energy, particularly for rural industries and small-scale manufacturing units.
Defining Biomass and Its Importance in India’s Power Mix
Biomass potential in India refers to the vast range of organic materials available from farmlands, forests, and biodegradable waste. With over half a billion tonnes of crop waste produced each year, the country holds huge potential for biomass-based power and heat production. 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.
Continuous-heat industries gain from adopting biomass energy—such as cement plants, textile mills, and food factories. These sectors have increasingly turned to bio mass briquettes as a green, low-cost substitute for traditional fuels. In addition to minimising pollution, the widespread use of biomass contributes to rural employment and adds value to farm by-products that would otherwise go to waste.
Manufacturing and Material Structure of Briquette Coal
Briquette coal is created by compacting dry biomass such as farm residues, sawdust, and organic materials into dense fuel logs or blocks. The process improves heat efficiency through drying, making it suitable for industrial boilers and furnaces. These briquettes are compact, easy to handle, and ensure clean combustion, ensuring a more efficient and cleaner burn.
Depending on the feedstock, 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 3500 to 5000 kcal/kg, depending on the organic mix and manufacturing process.
Understanding the Cost of Briquettes per Kilogram in India
The briquettes price per kg in India is influenced by several core variables, including feedstock supply, logistics, and market trends. 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, non-agricultural zones 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 energy output and input cost. 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 cheaper than most fossil fuels, bio mass briquettes which can cost much higher per thermal unit.
How Biomass Briquettes Differ from Traditional Coal
The replacement of coal by biomass fuel offers multiple benefits in terms of clean energy transition and cost control. Briquettes generate minimal smoke and ash, which helps industries meet environmental regulations. Their uniform size ensures consistent combustion, reducing operational downtime. Moreover, briquettes are renewable and carbon-neutral, as the carbon dioxide released during combustion is balanced naturally through vegetation cycles.
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 promoting localised fuel production.
Government Support and Biomass Sector Expansion in India
Government initiatives have significantly contributed in expanding the biomass sector. Policies promoting clean fuel adoption and emission reduction have stimulated wider use of green fuels. The Ministry of New and Renewable Energy (MNRE) has supported the development of bioenergy projects and briquette industries through grants and funding initiatives.
Additionally, green energy credits and policy mandates have provided monetary benefits to eco-conscious industries. With the government’s focus on achieving net-zero emissions by 2070, biomass energy is positioned as a key component of India’s long-term energy strategy. The creation of online biofuel exchanges and transparent trade systems has further improved efficiency and reach, enabling smoother trade operations.
Barriers and Issues in the Biomass Briquette Industry
Despite its strong potential, the biomass briquette sector faces several challenges. Seasonal variations in raw material supply can lead to inconsistent production levels. The lack of standardisation in quality and calorific value also creates uncertainty for industrial users. In some regions, distance from raw material sources increase the end-market expense, making coal a temporary but less sustainable choice.
Furthermore, insufficient education on biomass advantages remains a barrier to widespread adoption. Addressing these issues through improved infrastructure, better quality control, and government-backed awareness campaigns could help build resilience in the coming years.
Economic and Ecological Value of Biofuel Briquettes
The adoption of biomass briquettes provides both financial and ecological benefits. For industries, using briquettes minimises expenses and regulatory risks. On a national scale, it stimulates rural economies and promotes waste utilisation. Environmentally, briquettes reduce deforestation, curb greenhouse gas emissions, and minimise waste burning.
As the market expands and develops, innovations in briquetting technology, moisture control, and waste utilisation are expected to make production smoother and cost-effective. 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 achieving sustainable energy goals while addressing rural economic development. The increasing demand for bio coal and compressed bio briquettes reflects a nationwide transition toward cleaner and more affordable fuels. Although the biomass briquette cost may fluctuate geographically and seasonally, 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.