Biodiesel Market Analysis Forecasts Significant Growth 2024-2030: Global Insights on Trends, Industry Expansion and Top Companies
21/03/2024 (PR Newswire), The global biodiesel market is projected to boom at a CAGR of 6.05% between 2024 and 2030, to reach US$ 59.26 billion by 2030. In modern instances, biodiesel performs a crucial role in addressing environmental challenges and electricity sustainability. As a renewable gas derived from natural assets like vegetable oils and animal fat, biodiesel extensively reduces greenhouse fuel emissions as compared to standard diesel, mitigating climate exchange influences. Its use promotes energy independence by lowering reliance on fossil fuels, contributing to countrywide protection. Additionally, biodiesel supports agricultural economies by developing new markets for farm merchandise, fostering rural improvement, and improving overall environmental quality.
As per the Iowa Renewable Fuels Association, biodiesel slashes greenhouse gasoline emissions by as much as 86%, is non-toxic, and biodegradable. Its utilization additionally reduces particulate count through 47%, hydrocarbon emissions by as much as sixty seven%, and mitigates smog. Biodiesel production appreciably curtails wastewater by 79% and dangerous waste through 96% as opposed to petroleum diesel. Consequently, the growing desire for sustainable practices amongst environmentally-conscious purchasers fuels biodiesel demand, using market increase as more consumers are trying to find cleaner gasoline alternatives.
Moreover, increasing manufacturing meets the rising demand, bolstering the global biodiesel market by presenting more sustainable fuel options and mitigating reliance on fossil fuels. According to the US Environmental Protection Agency (EPA), US manufacturing of biomass-based diesel, encompassing biodiesel, renewable diesel, sustainable aviation fuel (SAF), and heating oil, reached four billion gallons in 2023. Both home production and use of advanced biomass-based diesel grew by 1 billion gallons in 2023 compared to 2022, indicating a vast expansion in the quarter. Hence, the Global Biodiesel Market was priced at US$ 39.27 Billion in 2023.
Besides, maximum new biofuel demands emerge from robust guidelines in emerging economies, particularly Brazil, Indonesia, and India. With hovering transport fuel desires and ample feedstock capacity, those international locations witness massive ethanol and biodiesel usage expansion. Indonesia, the world's biggest biodiesel manufacturer, is important in exemplifying its commitment to reducing greenhouse gas emissions and boosting its financial system. Beyond being the most outstanding international biodiesel manufacturer, Indonesia's big palm oil industry and favorable agricultural setup contribute to its leadership. In a bid to reduce energy imports and promote palm oil consumption, Indonesia's Energy Ministry plans to test B40 mixing, incorporating 30% Fatty Acid Methyl Ester (FAME) and 10% distilled Palm Methyl Ester (DPME) or 10% green diesel from palm oil.
China has the capacity to become a considerable player in the global biodiesel market due to its considerable population, increasing energy demands, and growing awareness of environmental concerns. In 2021, China is forecasted to supply 1.9 billion liters of biodiesel, with local demands anticipated to account for just 40% of that, in line with statistics from the U.S. Department of Agriculture (USDA). Besides, government assistance for renewable energy tasks is contributing to the boom of the global biodiesel market. For instance, in 2021, China released a sequence of pilot tasks to stimulate domestic manufacturing and consumption of biodiesel, as pronounced by the National Energy Administration (NEA), improving environmental efforts in an area where the country trails other major economies.