Biodiesel Market Size - By Application (Fuel, Power Generation, Others), By Feedstock (Vegetable Oil, Animal Fats), By Production Process (Alcohol Trans-Esterification, Hydro-Heating) and By Region: Global Forecast, 2024 – 2033
- PUBLISHED ON
- 2024-12-20
- NO OF PAGES
- 278
- CATEGORY
- Energy & Power
Market Overview
Biodiesel Market Size is set to rev up its engines, racing towards a value of USD 39.75 Billion by 2024. Propelled by a consistent and predictable path of growth, this eco-friendly juggernaut is projected to shift into high gear, surging to a remarkable USD 80.23 Billion by 2033. With a turbocharged Compound Annual Growth Rate (CAGR) of 8.4% during the forecast period from 2024 to 2033, the biodiesel market is not just driving change; it's steering the future of sustainable energy. Get ready for a green revolution on the road to a cleaner, biodiesel-powered world.
SOURCE:
We Market Research
Biodiesel
is a renewable fuel that is made from natural ingredients such as residual
cooking oil, animal or vegetable fats, or recycled oil. Through a process
called transesterification, these organic materials are converted into a
clean-burning alternative to traditional diesel fuel. Biodiesel may be used in
diesel engines without requiring any changes, reducing greenhouse gas emissions
and the need for fossil fuels. Because it is environmentally friendly,
biodegradable, and promotes sustainable energy habits, it offers a realistic
route toward a more ecologically conscious and varied energy future.
The
biodiesel market is driven by a number of factors. First of all, stringent
regulations meant to lower greenhouse gas emissions and growing environmental
concerns are driving the need for cleaner, renewable fuel sources like
biodiesel. The need for energy security and fluctuating crude oil prices are
further factors driving interest in alternate fuels. Government policies that
support biofuels through subsidies, incentives, and restrictions also help to
expand the industry. Customers are more likely to use biodiesel because it is
versatile and compatible with modern diesel engines. Furthermore, technology
advancements for effective production techniques and the potential for
waste-to-energy solutions have improved biodiesel's commercial prospects and
made it a viable and sustainable competitor in the renewable energy space.
Market Scope
|
Report Attributes |
Description |
|
Market Size in 2024 |
USD
39.75 Billion |
|
Market Forecast in 2033 |
USD 80.23
Billion |
|
CAGR % 2024-2033 |
8.4% |
|
Base Year |
2023 |
|
Historic Data |
2016-2022 |
|
Forecast Period |
2024-2033 |
|
Report USP
|
Production,
Consumption, company share, company heatmap, company production capacity,
growth factors and more |
|
Growth Drivers |
Increasing concerns about environmental
sustainability and a growing emphasis on reducing greenhouse gas emissions
have led to a heightened demand for cleaner and more sustainable fuel
alternatives like biodiesel. Global initiatives to promote renewable energy sources and reduce the carbon footprint are creating a favorable environment for biodiesel adoption. Biodiesel, derived from renewable resources, aligns with the objectives of these initiatives. Ongoing advancements in biodiesel production technologies are enhancing efficiency, reducing production costs, and expanding the feasibility of biodiesel as a mainstream fuel source. |
|
Segments Covered |
By Application, By
Feedstock, By Production Process and By Region |
|
Regional Scope |
North America, Europe, APAC, South
America and Middle East and Africa |
|
Country Scope |
U.S.; Canada;
U.K.; Germany; France; Italy; Spain; Benelux; Nordic Countries; Russia;
China; India; Japan; South Korea; Australia; Indonesia; Thailand; Mexico;
Brazil; Argentina; Saudi Arabia; UAE; Egypt; South Africa; Nigeria |
Biodiesel Industry: Drivers & Restrains
Market Drivers
Growing Awareness of Environmental Benefits - The
market for biodiesel is driven by growing awareness of its environmental
benefits as consumers and businesses search for eco-friendly alternatives to
conventional fuels. As awareness of climate change grows, so does the
popularity of biodiesel, which is recognized for emitting fewer greenhouse
gases and having a lower environmental impact than fossil fuels. This
information encourages consumer demand, investment interest, and legislative
backing—all of which drive innovation and industry expansion for biodiesel. The
market for biodiesel is developing due to the combination of the recognized
environmental benefits of the fuel and the increased global awareness of
sustainability.
Growing Demand for Cleaner Fuels - The market for biodiesel is being
driven primarily by the growing need for greener fuels. As societies place a
higher priority on cutting back on air pollution and carbon footprints,
biodiesel is becoming more and more appealing as a renewable and sustainable
diesel substitute. The global popularity of biodiesel is surging due to strict
emissions laws and the pursuit of cleaner energy sources. A number of
businesses, notably transportation and those pursuing greener methods, are the
source of this growing need. The market for biodiesel is expanding as a crucial
component of a more sustainable energy landscape due to the acknowledgement of
its role in reducing environmental impact and satisfying cleaner fuel
requirements.
Market Restrains
Higher initial investment and Feedstock costs - The
market for biodiesel is limited by higher feedstock costs and initial
investment requirements. Large obstacles include the high startup costs of
setting up biodiesel manufacturing facilities and the unpredictability and cost
of obtaining feedstocks such as palm or soybean oil. These high initial costs
discourage potential investors and limit the scalability of production, making
it difficult to enter and grow the market. The price variations caused by the
reliance on expensive feedstocks make biodiesel less competitive with regular
diesel. These financial barriers prevent the market from expanding,
necessitating creative ways to reduce production costs and look into more
accessible feedstock choices for the manufacturing of sustainable biodiesel.
Biodiesel Segmentation
Market- By Application Analysis
By Application, the Biodiesel Market is Categories into Fuel, Power Generation, Others. The Fuel segment accounts for the largest share of around 71% in 2022.
Biodiesel is a cleaner-burning fuel
substitute that is in high demand due to strict rules requiring reduced
emissions. In order to satisfy emission reduction targets, governments
subsidize the mixing of biodiesel into diesel fuel, hence driving market
growth. Additionally, changes in the price of oil might increase the economic viability
of biodiesel. Biodiesel becomes a viable alternative when the price of
conventional diesel rises, leading to a growth in its use in the fuel industry.
The
following segments are part of an in-depth analysis of the global Biodiesel
Market:
|
Market
Segments |
|
|
By
Feedstock |
·
Vegetable Oil ·
Animal Fats |
|
By
Production Process |
·
Alcohol Trans-Esterification ·
Hydro-Heating |
Biodiesel Industry: Regional Analysis
Europe Market Forecast
Europe dominate the Biodiesel Market with the highest revenue generating market with share of more than 60%. The Renewable Energy Directive (RED) of the European Union and sustainability requirements promote the usage of biodiesel. Mandates for renewable energy and strong carbon reduction objectives drive market expansion. Also, Europe's significant production of rapeseed and sunflower seeds, coupled with its emphasis on environmentally friendly farming practices, promote the development of biodiesel. Additionally, the demand for biodiesel in European markets is further bolstered by consumer preferences for environmentally friendly products and business sustainability initiatives.
North America Market Statistics
North
America is the second-largest market for Biodiesel. The United States is the
biggest producer and consumer. The industry is expected to grow steadily in the
future years as a result of increased demand for renewable fuels and government
regulations.
Asia Pacific Market Forecasts
Asia
Pacific is expected to be the fastest-growing market for Biodiesel during the
forecast period. This can be attributed to a variety of factors, including
growing economies, rising disposable incomes, and government support for
biofuels. China and India are the two nations in the region with the highest
production of biodiesel.
Key Market Players
The
Biodiesel Market is dominated by a few large companies, such as
·
Ecodiesel Colombia S.A.
·
Cargill, Inc.
·
FutureFuel Corp.
·
Manuelita S.A.
·
Renewable Biofuels, Inc.
·
TerraVia Holdings, Inc.
·
Wilmar International Ltd.
·
Archer Daniels Midland
Company (ADM)
·
Bunge Ltd.
·
Ag Processing, Inc.
·
Others
Recent Developments:
·
January, 2022, ExxonMobil
revealed that it has acquired a 49.9% stake in Biojet AS, a biofuels business
based in Norway that aims to produce ethanol and biofuel components with fewer
emissions from wood-based building waste and forestry.
1. Global Biodiesel Market Introduction and Market Overview
1.1. Objective of the Market Research Study
1.2. Biodiesel Market Definition & Description
1.3. Research Data Parameters & Reporting Timelines
1.3.1. Historical Data Reporting Years – 2020 to 2021
1.3.2. Projected Data Reporting Years – 2022 to 2033
1.3.3. Reporting Data Parameters – Value and Volume (US$ Million & Million Liters)
1.4. Global Biodiesel Market Scope and Market Estimation
1.4.1. Global Biodiesel Overall Market Size (US$ Million), Market CAGR (%), Market Estimates & Forecast (2020 to 2033)
1.4.2. Global Biodiesel Market Revenue Share (%) and Growth Rate (Y-o-Y) from 2020 to 2033
1.5. Biodiesel Market Segmentation
1.5.1. Production Process of Global Biodiesel Market
1.5.2. Feedstock of Global Biodiesel Market
1.5.3. Application of Global Biodiesel Market
1.5.4. End-use of Global Biodiesel Market
1.5.5. Key Regions of Global Biodiesel Market
2. Global Biodiesel Market - Executive Summary
2.1. Global Biodiesel Market – Summary & Snapshot
2.2. Global Biodiesel Market, By Production Process (US$ Million & Million Liters)
2.3. Global Biodiesel Market, By Feedstock (US$ Million & Million Liters)
2.4. Global Biodiesel Market, By Application (US$ Million & Million Liters)
2.5. Global Biodiesel Market, By End-use (US$ Million & Million Liters)
2.6. Global Biodiesel Market, By Geography (US$ Million & Million Liters)
2.7. Global Biodiesel Market Outlook & Future Opportunities
3. Biodiesel Market Trends, Outlook, and Factors Analysis
3.1. Global Biodiesel Market Industry Development Trends under COVID-19 Outbreak
3.1.1. Global COVID-19 Status Overview
3.1.2. Influence of COVID-19 Outbreak on Global Biodiesel Market Industry Development
3.1.3. Pre & Post COVID-19 Trends and Scenarios
3.2. Biodiesel Market Dynamics (Growth Impacting Factors & Rationales)
3.2.1. Drivers
3.2.1.1. The demand-supply mismatch created by limited production capacity and a huge opportunity for R&D in feedstock selection for product manufacture is likely to open up new market possibilities.
3.2.1.2. The Government policies and tax rebates to support the preference of biodiesel also anticipated to surge the growth in the global market.
3.2.1.3. Driver 3
3.2.1.4. Driver 4
3.2.2. Restraints
3.2.2.1. High cost of raw material and dependency on food prices.
3.2.2.2. Restraint 2
3.2.2.3. Restraint 3
3.2.3. Opportunities
3.2.3.1. The growing demand for environmentally friendly fuels that lower greenhouse gas emissions is predicted to open up a plethora of opportunities in the worldwide industry.
3.2.3.2. Opportunity 2
3.2.3.3. Opportunity 3
3.2.4. Impact Analysis of Drivers and Restraints
3.3. Ecosystem/ Value Chain Analysis
3.4. Porter’s Five Forces Analysis
3.5. SWOT Analysis
3.6. PEST Analysis
3.7. Average Selling Prices and Pricing Trends Analysis of Biodiesel Market
3.8. Key Investment Pockets of Biodiesel Market
3.8.1. By Production Process
3.8.2. By Feedstock
3.8.3. By Application
3.8.4. By Regions
4. Global Biodiesel Market: Estimates & Historic Trend Analysis (2019 to 2021)
4.1. Global Biodiesel Market, 2020 – 2021 (US$ Million & Million Liters)
4.2. Global Biodiesel Market, By Production Process, 2020 to 2021 (US$ Million & Million Liters)
4.3. Global Biodiesel Market, By Feedstock, 2020 to 2021 (US$ Million & Million Liters)
4.4. Global Biodiesel Market, By Application, 2020 to 2021 (US$ Million & Million Liters)
4.5. Global Biodiesel Market, By Region, 2020 to 2021 (US$ Million & Million Liters)
5. Global Biodiesel Market Estimates & Forecast Trend Analysis, by Production Process
5.1. Global Biodiesel Market Share (%) Estimates and Forecasts, by Production Process, 2022 & 2033
5.2. Global Biodiesel Market Revenue (US$ Million) & Volume (Million Liters) Estimates and Forecasts, by Production Process, 2022 to 2033
5.2.1. Alcohol Trans-Esterification
5.2.2. Hydro-Heating
5.2.3. Others (Dilution, Micro-Emulsification)
6. Global Biodiesel Market Estimates & Forecast Trend Analysis, by Feedstock
6.1. Global Biodiesel Market Share (%) Estimates and Forecasts, by Feedstock, 2022 & 2033
6.2. Global Biodiesel Market Revenue (US$ Million) & Volume (Million Liters) Estimates and Forecasts, by Feedstock, 2022 to 2033
6.2.1. Vegetable Oil
6.2.2. Animal Oil
6.2.3. Others
7. Global Biodiesel Market Estimates & Forecast Trend Analysis, by Application
7.1. Global Biodiesel Market Share (%) Estimates and Forecasts, by Application, 2022 & 2033
7.2. Global Biodiesel Market Revenue (US$ Million) & Volume (Million Liters) Estimates and Forecasts, by Application, 2022 to 2033
7.2.1. Fuel
7.2.1.1. Automobile
7.2.1.2. Industrial
7.2.1.3. Marine
7.2.2. Power Generation
7.2.3. Others
8. Global Biodiesel Market Analysis and Forecast, by Region
8.1. Global Biodiesel Market Share (%) Estimates and Forecasts, by Region, 2022 & 2033
8.2. Global Biodiesel Market Revenue (US$ Million) & Volume (Million Liters) Estimates and Forecasts, by Region, 2022 to 2033
8.2.1. North America
8.2.2. Europe
8.2.3. Asia Pacific
8.2.4. Middle East and Africa
8.2.5. Latin America
9. North America Biodiesel Market: Estimates & Forecast Trend Analysis
9.1. North America Biodiesel Market Assessments & Key Findings
9.2. North America Biodiesel Market Share (%) Estimates and Forecasts, 2022 & 2033
9.3. North America Biodiesel Market Size Estimates and Forecast (US$ Million & Million Liters) (2022 to 2033)
9.3.1. By Production Process
9.3.2. By Feedstock
9.3.3. By Application
9.3.4. By Major Country
9.3.4.1. The U.S.
9.3.4.2. Canada
10. Europe Biodiesel Market: Estimates & Forecast Trend Analysis
10.1. Europe Biodiesel Market Assessments & Key Findings
10.2. Europe Biodiesel Market Share (%) Estimates and Forecasts, 2022 & 2033
10.3. Europe Biodiesel Market Size Estimates and Forecast (US$ Million & Million Liters) (2022 to 2033)
10.3.1. By Production Process
10.3.2. By Feedstock
10.3.3. By Application
10.3.4. By Major Country
10.3.4.1. Germany
10.3.4.2. The U.K.
10.3.4.3. France
10.3.4.4. Italy
10.3.4.5. Spain
10.3.4.6. Rest of Europe (includes all other European countries)
11. Asia Pacific Biodiesel Market: Estimates & Forecast Trend Analysis
11.1. Asia Pacific Biodiesel Market Assessments & Key Findings
11.2. Asia Pacific Biodiesel Market Share (%) Estimates and Forecasts, 2022 & 2033
11.3. Asia Pacific Biodiesel Market Size Estimates and Forecast (US$ Million & Million Liters) (2022 to 2033)
11.3.1. By Production Process
11.3.2. By Feedstock
11.3.3. By Application
11.3.4. By Major Country
11.3.4.1. China
11.3.4.2. Japan
11.3.4.3. India
11.3.4.4. ASEAN
11.3.4.5. South Korea
11.3.4.6. Rest of Asia Pacific (includes all other Asia Pacific countries)
12. Middle East & Africa Biodiesel Market: Estimates & Forecast Trend Analysis
12.1. Middle East & Africa Biodiesel Market Assessments & Key Findings
12.2. Middle East & Africa Biodiesel Market Share (%) Estimates and Forecasts, 2022 & 2033
12.3. Middle East & Africa Biodiesel Market Size Estimates and Forecast (US$ Million & Million Liters) (2022 to 2033)
12.3.1. By Production Process
12.3.2. By Feedstock
12.3.3. By Application
12.3.4. By Major Country
12.3.4.1. GCC
12.3.4.2. South Africa
12.3.4.3. Egypt
12.3.4.4. Rest of Middle East & Africa (includes all other Middle East & Africa countries)
13. Latin America Biodiesel Market: Estimates & Forecast Trend Analysis
13.1. Latin America Market Assessments & Key Findings
13.2. Latin America Biodiesel Market Share (%) Estimates and Forecasts, 2022 & 2033
13.3. Latin America Biodiesel Market Size Estimates and Forecast (US$ Million & Million Liters) (2022 to 2033)
13.3.1. By Production Process
13.3.2. By Feedstock
13.3.3. By Application
13.3.4. By Major Country
13.3.4.1. Brazil
13.3.4.2. Mexico
13.3.4.3. Rest of Latin America (includes all other Latin America countries)
14. Competitive Landscape
14.1. Biodiesel Market Revenue Share Analysis (%), by Major Players (2021)
14.2. Biodiesel Market Competition Matrix, by Leading Players
14.3. Biodiesel List of Emerging, Prominent and Leading Players
14.4. Major Mergers & Acquisitions, Partnership, Joint Venture, Expansions, Deals, Recent Developments, etc.
15. Company Profiles
15.1. Ag Processing, Inc.
15.1.1. Company Overview & Insights
15.1.2. Financial Performance
15.1.3. Product / Service Portfolio
15.1.4. Geographical Footprint & Share
15.1.5. Strategic Initiatives & Key Developments
*Similar details would be provided for all the players mentioned below
15.2. Archer Daniels Midland Company (ADM)
15.3. Biox Corp.
15.4. Bunge Ltd.
15.5. Cargill, Inc.
15.6. Ecodiesel Colombia S.A.
15.7. FutureFuel Corp.
15.8. HERO BX
15.9. Louis Dreyfus Company
15.10. Manuelita S.A.
15.11. Marathon Petroleum Corporation
15.12. Munzer Bioindustrie GmbH
15.13. Neste Oyj
15.14. NOVAOL
15.15. Renewable Biofuels, Inc.
15.16. Renewable Energy Group, Inc.
15.17. TerraVia Holdings, Inc.
15.18. VERBIO
15.19. Wilmar International Ltd.
15.20. Others
16. Assumptions and Research Methodology
16.1. Data Mining
16.2. Secondary Research
16.3. Primary Research
16.4. Subject Matter Expert Advice
16.5. Quality Check
16.6. Final Review
16.7. Data Triangulation
16.8. Bottom-Up Approach
16.9. Top Down Approach
16.10. Research Flow
16.11. Key Insights from Industry Experts
16.12. Data Sources
16.13. Assumptions
16.14. Limitations
17. Conclusions and Recommendations
17.1. Key Research Findings and Conclusion
17.2. Key Insights & Recommendations from Analysts
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Frequently Asked Questions
What is the market size of Biodiesel Market in 2022?
Biodiesel Market was valued at USD 36.86 Billion in 2022.
What is the growth rate for the Biodiesel Market?
Biodiesel Market size will increase at approximate CAGR of 8.4% during the forecasted period.
Which are the top companies operating within the market?
Major companies operating within the Biodiesel Market are Ecodiesel Colombia S.A., Cargill, Inc., FutureFuel Corp., Manuelita S.A., Renewable, Biofuels, Inc., TerraVia Holdings, Inc., Wilmar International Ltd., Archer Daniels, Midland Company (ADM), Bunge Ltd., Ag Processing, Inc. and Others.
Which region dominates the Biodiesel Market?
Europe dominates the market with an active share of 60%.
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