“Worldwide biorefinery industry is expected to achieve 892 billion dollars by 2030”, says Visiongain

27 September 2019

The worldwide biorefinery industry is expected to achieve 892 billion dollars by 2030 from 487.6 billion dollars in 2020 at an estimated compound development level (CAGR) of 8.7% fold from 2020 to 2030. The method of bio-refining is focused on the use of multiple kinds of bio-based feedstock that are transformed using distinct technological ideas derived on biochemical, chemical and thermochemical modifications. The bio-refining method is used to create eco-friendly and economically useful bio-based products. Government policies, added value from non-fuel co-products and reduced carbon emissions were the top three drivers for the marketing of cellulosic biofuels.

Economic Advantages Of Biomass Refining

Visiongain also notes that achieving the economic benefits of refining biomass i.e. lower primary product prices and lower production costs for low-volume / high-margin coproducts is encouraged by long-term coproduction of multiple products. Because of the vast volume of energy markets compared to chemicals and equipment, the achievement of prospective environmental advantages, i.e. the establishment of sustainable resource production, improving energy security and boosting regional economic development, is mainly focused on generating biobased energy. As a result, the indirect long-term contribution of biobased chemicals and materials resulting from enhancing energy production's economic viability may well be greater than the direct contribution of fossil fuel displacement per se. With regard to the future development of the biomass refining industry, Visiongain notes that while multi-product refineries are probable to be the long-term endpoint, commercial plants may well introduce one fresh product / process at a moment to prevent compounding risks, such as petroleum processing v and maize wet milling, which started as single-product procedures and evolved into multi-product sectors.

There is currently strong economic incentive for Bio refineries

Industry currently has strong economic incentives to pursue the second goal, and many companies like Cargill Dow and DuPont are already using maize as a feedstock. However, further technical progress in the field of product diversification provides minimal benefit in relation to the first objective, an area for which there is currently minimal economic incentive: cellulosic feedstocks today offer little or no price advantage. However, as biomass refining technology matures in the long term, the transfer cost of cellulosic soluble sugars could be half that of maize. In light of this limited economic incentive and the profound societal benefits that stand to result from biomass refining, Visiongain submit that the first objective represents an appropriate target for government-sponsored R&D, as technical progress in this area will benefit most potential biomass refineries and help to establish the industry

If Biorefinery Emergence Is To Be Accelerated, Policy Makers Must Develop A Much Clearer Vision

In order to accelerate the emergence of biorefineries, policymakers need to develop a much clearer vision and set related goals for bioeconomy promotion. In addition, policy must take into account a much wider range of bioproducts, including biofuels and biomaterials. Initial market formation needs to be clearly driven by policy, particularly with regard to biofuels. A overhaul of the present strategy strategies is therefore necessary in order to create a stable and safe business climate, the absence of which has hitherto restricted the ongoing growth of the sector

number of biorefinery businesses have shown it is possible to apply strategic responses to overcome challenges and position themselves within the present market, independent of policies

Despite a challenging strategy environment, an significant finding of the research is that a proportion of biorefinery companies have shown that strategic answers can be applied to solve difficulties and place themselves independently of strategies within the current industry. Therefore, when building a biorefinery business, it is crucial to determine the type of strategy and business model to be implemented. Careful attention must be given to the ability to mobilize biomass resources while at the same time establishing structures for supply and demand. A collaborative approach, leveraging resources and building a web of favorable system components, has proven a viable strategic approach towards developing and commercializing biorefineries

Biorefinery Emerged As The Most Viable Option Both Which Can Bridge The Gap Environmental Sustainability And Economic Growth In The Long Run

The increasing demand for energy due to the growing global population has presented the world with a serious challenge. Furthermore, a major environmental threat poses rapid climate change due to increased GHG emissions. Biorefinery has emerged as the most viable option, both to bridge the gap between environmental sustainability and long-term economic growth.  The biorefinery industry is still in its infancy and, due to increasing environmental concerns, is anticipated to develop rapidly over the next century. Moreover, mandates and policies worldwide are expected to further push the demand for products derived from biomass.

Biomass Based Products Has Triggered Interest From Numerous End Use Industries Including Agriculture, Transportation, Chemicals And Aviation

Products depending on biomass have attracted attention from countless end-use sectors including agriculture, transport, chemicals and aviation. The industry, however, is surrounded by challenges such as setting up the infrastructure needed. To overcome such a challenge, the industry's major players have focused on using the best gasification, fermentation and chemical conversion technologies to ensure that these bio-based products reach a break-even point. Participants in the industry focused on the overall supply chain of biomass products through distribution centers, i.e. from raw materials to end-use industries. 


Biorefinery Act As A Platform For Producing Numerous Biomass Derived Products

Biorefinery acts as a basis for the production of countless products obtained from biomass that can substitute products relying on fossil fuel. In chemical composition, replacement products are similar but are produced using different raw materials. Lactic acid, succinic acid, ethylene, xylitol, astaxanthin, polylactic acid, viscose, PLA blend and transportation fuel are some of the major biomass-based products currently being produced or under investigation. Produced using various renewable raw materials such as sugar / starch, vegetable oil, lignocellulosic biomass, jatropha oil and micro algae, these chemicals / fuel are produced.

Biorefinery Can Be A Facility, A Process, A Plant, Or Even A Cluster Of Facilities

Biorefinery is the sustainable conversion of biomass into a marketable spectrum of products and energy. Farm waste, plant-based starch and lignocellulosic materials are used in this process to produce all types of chemicals, fuel and bio-based materials. Biorefinery can be an installation, a process, a plant, or even a facilities cluster. The sustainability aspect is a key driver for the establishment of biorefineries. All biorefineries should be assessed on their environmental, economic and social sustainability throughout the entire life cycle throughout the value chain.

Biorefinery Improvement Is Expected To Generate More Feedstocks, Technologies, And Coproducts

Successful business application of embedded biorefineries needs credible handling devices coupled with manufacturing cycles that are eco appropriate and economically lucrative. Biorefinery concept development and implementation should include crop cultivation and crop selection to maximize full chain performance.

It is expected that further improvement in biorefinery will generate more feedstocks, technologies and coproducts, inevitably offering all kinds of economic opportunities. Research and development will accelerate agricultural and rural development, enhance manufacturing growth and free up new and current economies. It can be foreseen, however, that biorefinery technologies will develop gradually over time, because the more fractions are obtained the more markets should be served. All these markets dictate that raw materials and intermediates are available at a rather constant supply and therefore prices. The built up of this raw material supply will take time.

Biorefineries Can Provide A Significant Contribution To Sustainable Development

Biorefineries can contribute significantly to sustainable development, generating added value for the sustainable use of biomass and simultaneously producing a range of biobased products (food, feed, materials, chemicals, fuels, power and/or heat). This involves optimum effectiveness in biomass transformation, minimizing feedstock demands while at the same moment enhancing the financial viability of business industries (e.g., agriculture, forestry, chemical and power). Because the supply of biomass is restricted, equipment and energy in multi-purpose biorefineries should be used efficiently and efficiently. Developing technologies based on lignocellulosic materials can allay the perceived conflict between energy and food production, but it was discussed before this currently results in a much higher BCI. Biorefining needs further development but provides possibilities for all industries of the economy. Building a biobased economy can assist solve current problems while at the same time setting the basis for an environmentally friendly sector.

Growing Concern For Energy Security, Accessibility Of Low-Cost Raw Materials And Volatility In Fossil Fuel Prices Are Some Of The Key Driving Factors For The Market Growth

Growing worry for energy security, availability of low-cost raw materials, and fossil fuel price volatility are some of the main drivers of market growth. However, enormous initial investment and less buyer and supplier availability are hampering growth. In addition, increasing promotional activities by biotechnologists and chemists for bio-based products is one of the great opportunities during the forecast period.

Based on feedstock, the green biorefinery sector experienced significant development owing to an rise in electricity generation and process heat for its own use through CHP (mixed water and energy) technologies. According to the report, North America acquired the largest market share on the basis of regional analysis due to its varied availability and ecological equilibrium..


Leading Regional & National Analysis


Leading Players

Abengoa Bioenergy Corp
Pacific Ethanol
Neste Oil OYJ
Renewable Energy Group Inc
Valero Energy Corp
Quad-County Corn Processors
Pacific Ethanol
Front Range
Flint Hills

A Range Of Strategic Responses To Commercialization Challenges Were Applied By The Entrepreneurs

The way companies operate plays a key role in the marketing of new technologies. Overall, market entry is not accomplished without vibrant adjustment of fresh approaches and company designs. Companies, however, do not innovate in isolation, but are exposed to the broader socio-economic context they operate within. This environment often imposes barriers and constraints to be addressed in order to be successful in marketing efforts.

Entrepreneurs applied a range of strategic responses to marketing challenges. Most of the companies studied in the research began focusing on biofuels because of favourable government settings. Initially, biomass funds were activated for processes of biofuels. Over time, however, market conditions for cellulosic biofuels have changed and corporate strategies have shifted to product diversification and strategies to reduce exposure to fluctuations in oil prices as well as policy support dependence. A step-wise growth has proved feasible to accomplish this as resource mobilization and market formation are gradually and incrementally evolved. A strong degree of flexibility with regards to feedstock, products, and processes was found to be highly beneficial in terms of successful commercialization

Integrated Biorefineries is the key to success in the market

Several researchers have suggested a short-to-medium-term strategy to scale up the U.S. cellulosic biofuels industry in the face of current issues; that is, to integrate bio-based chemicals production with cellulosic biofuels. This integrated biorefinery scenario can deliver diversified value stream outputs and contribute to effective use of feedstock fractions, enhance financial performance, and mitigate potential risks. A techno-market evaluation of chosen biobased polymers was finished for the NARA initiative, which was launched in January 2013.

One Of The Key Prerequisites Of A Successful Biorefinery Is To Invite Key Stakeholders From Separate Backgrounds
One of the key prerequisites for a successful biorefinery is to invite key stakeholders from separate backgrounds (agriculture / forestry, transportation fuels, chemicals, energy, etc.) to discuss common processing topics, foster necessary R&D trajectories and stimulate the deployment of advanced technologies in multidisciplinary partnerships. Optimal financial and environmental efficiency can also be ensured by connecting the most successful biobased products, i.e. meat, feed, (fibre-based) value-added materials and (functional and platform) chemicals with bioenergy manufacturing.

A Key Factor Driving The Growth Of The Market Is The Increasing Demand For Sustainable Energy Resources

The growing supply for sustainable energy assets is a main variable influencing market growth. The worldwide population is rising along with improving the level of life of the communities. The rate of urbanization is rising rapidly. People's income levels are multiplying, leading to an increase in energy demand. Due to the rapid increase in energy demand, conventional resources, particularly fossil fuels, are rapidly depleting, resulting in a significant imbalance in demand and energy supply. This disproportion in energy demand and supply has created enormous pressure on both consumers and the environment, forcing mankind to seek sustainable energy resources.


The comprehensive report offers market estimation and forecast for the period ranging 2020-2030 for leading national markets and rest of the world. Moreover, the report contains dedicated leading companies covering 10 leading producers in the field of biorefinery.

The biorefinery Market Report 2020-2030 report will be of value to anyone who wants to better understand the biorefinery market and its various segments. It will be useful for businesses who wish to better comprehend the part of the market they are already involved in, or those wishing to enter or expand into a different regional or technical part of the biorefinery industry.

Visiongain is a trading partner with the US Federal Government
CCR Ref number: KD4R6

Do you have any custom requirements we can help you with? Any need for specific country, geo region, market segment or specific company information? Contact us today, we can discuss your needs and see how we can help: sara.peerun@visiongain.com

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