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Biomass & Briquette Market in India: Exploring Price Patterns and the Nation’s Increasing Move Toward Biofuel Solutions

The renewable energy domain in India is witnessing rapid evolution, with biomass emerging as a key contributor in the nation’s eco-friendly power strategy. The rising adoption of bio mass briquettes and other forms of eco energy has created a growing sector for producers and industrial buyers. In recent years, the briquettes price per kg has become a crucial factor affecting fuel procurement decisions, especially as industries pursue low-cost, environment-friendly options to coal and other fossil fuels.

The growing emphasis on cleaner energy has accelerated the demand for briquette coal—a compressed, carbon-neutral energy source derived from farm residues, wood dust, and biodegradable materials. As India works toward its renewable energy targets, bio-based energy sources are playing a crucial role in cutting greenhouse gas output and promoting self-sufficiency in energy, particularly for village-based enterprises and small factories.

Defining Biomass and Its Importance in India’s Power Mix

India’s biomass resources comprises a wide array of natural residues available from agriculture, forestry, and organic waste streams. With over 500 million tonnes of agricultural residue generated annually, the country holds considerable potential for using biomass in industrial energy generation. This resource can be converted into different usable fuels such as briquettes and pellets as well as bio-oil and biogas, thereby providing clean substitutes for conventional fossil fuels.

Industries needing consistent thermal output benefit greatly from biomass fuel—such as cement, textile, and food processing units. These sectors have increasingly turned to bio-coal briquettes as a green, low-cost substitute for traditional fuels. In addition to minimising pollution, 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 farm residues, sawdust, and organic materials into compressed shapes of uniform size. The process eliminates moisture and enhances the calorific value, making it suitable for industrial boilers and furnaces. 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 classified as biomass, biocoal, or hybrid briquettes. While standard briquettes rely fully on organic matter, bio coal briquettes often contain a small portion of carbonised material to increase heat output. Their heating value typically ranges from about 3500–5000 kcal per kilogram, 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 key factors, including feedstock supply, logistics, and market trends. In key biomass-producing regions such as Punjab and Maharashtra, the easy access to agro-waste keeps prices competitive. In contrast, non-agricultural zones where raw materials need to be shipped over long distances 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 harvest periods, when supply is abundant, prices tend to remain steady. However, in rainy seasons or energy-demand surges, prices may increase because of shortages and logistical delays. 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 clean energy transition and cost control. biomass in india Briquettes burn more cleanly, producing less sulphur dioxide and particulate matter, which helps industries maintain green standards. Their even density promotes stable burning, reducing equipment maintenance and improving energy output. 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, climate damage and ecological loss. Its extraction and transportation processes are also destructive to land and wildlife. By replacing even a portion of industrial coal consumption with biomass briquettes, India can move closer to net-zero goals while promoting localised fuel production.

Policies and Growth Drivers for Biomass Energy in India

Government initiatives have played a major role in developing India’s biomass energy base. Policies promoting sustainability and job creation have encouraged industries to adopt biomass-based fuels. The MNRE and related departments has supported the development of biomass generation facilities 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 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 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 hampers market reliability. 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 key challenge for expansion. Addressing these issues through upgraded logistics, standard guidelines, and public outreach could help strengthen sectoral confidence and expansion.

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 national scale, it supports local economies by creating demand for agricultural residues and offering new income streams for farmers. Environmentally, briquettes reduce deforestation, curb greenhouse gas emissions, and minimise waste burning.

As the market grows steadily, innovations in machinery design and feedstock management are expected to make production smoother and cost-effective. The establishment of rural briquette hubs can further reduce transportation costs and ensure year-round availability.

Final Thoughts

India’s biomass sector represents a critical opportunity for meeting clean energy targets and supporting rural growth. The increasing demand for biomass fuel and bio mass briquettes reflects a shift toward renewable energy alternatives. Although the briquettes price per kg may fluctuate geographically and seasonally, the overall gains exceed occasional cost changes. With continued investment, policy support, and innovation, biomass will play a defining role in India’s clean energy era.

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