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Global Market for Biofuels to Reach $185.3 Billion by 2021

Pike Research, a market research and consulting firm offering comprehensive analysis of global clean technology markets, has released a report on the global biofuels industry. The report titled, “Biofuels Markets and Technologies”, provides an assessment on key challenges faced in the industry and a study on global opportunities for ethanol and biodiesel.

The report also includes evaluation of market driving factors, including rising demand in chemical and aviation sectors, feedstock and production economics, and policy and regulatory works.

The analysis shows that the global biofuels market will reach $185.3 billion by 2021, which is two times higher than 2011 ($82.7 billion). A strong growth is projected between the years 2017 and 2021 due to the development of advanced technologies, availability of new feedstocks, promising mandate obligations and higher oil prices. The production of ethanol is estimated to maintain its leading position in the market by achieving 49.5 billion gallons per year (BGPY) by 2021.

Global biofuels industry is now entering a new era that offers sustainability, product neutrality and feedstock flexibility. As a short term solution, biofuels are seen as a best substitute for petroleum-based fuels, and in long term could totally change the fuel market by addressing consumers demand in marine, aviation and ground transportation fuel markets. The first generation biofuels that are produced from soy, rapeseed, sugarcane and corn starch are expected to strengthen the industry growth in the upcoming decade. In addition, the emergence of non-food feedstocks and advanced conversion pathways will support major production across the world.

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