"Actionable Insights to Fuel Your Growth"

Biorefinery Market Size, Share & COVID-19 Impact Analysis, By Feedstock (Starch & Sugar Crops, Energy Crops, Organic & Agricultural Residues, Multifeedstock, Others), By Process (Biochemical Processes, Chemical Processes, Mechanical/Physical Processes, Thermochemical Processes, Multiprocess), By Product (Energy, Chemicals, Materials, Others), and Regional Forecast, 2022-2029

Region : Global | Format: PDF | Report ID: FBI107137

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The global biorefinery market size was valued at USD 41.88 billion in 2021 and is projected to grow from USD 45.03 billion in 2022 to USD 80.26 billion by 2029, exhibiting a CAGR of 8.6% during the 2022-2029 forecast period. The global COVID-19 pandemic has been unprecedented and staggering, with biorefinery experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. Based on our analysis, the global market exhibited a growth of 3.1% in 2020 as compared to 2019.


A biorefinery is a facility that incorporates biomass conversion processes and equipment to produce fuels, energy, chemicals, materials, food, and animal feed from biomass. Growing demand for clean energy fuels has increased investments in the infrastructure setup for biorefineries.


COVID-19 IMPACT


Market Growth Impacted Due to Stalled Construction of New Biorefineries


There was a halt in construction activities due to COVID-19 lockdowns globally. The coronavirus pandemic affected many industries, including the biorefinery market growth. Furthermore, the sanctioning of new projects saw a slight reduction in annual growth rate due to lower investment potential owing to the economic turmoil in various countries.


However, there was a rise in the adoption of greener technologies during the pandemic. With technological advancements in biorefining technologies, the adoption of has biofuels revived. This directly enhanced the demand for establishing biorefineries.


LATEST TRENDS


Request a Free sample to learn more about this report.


Rising Technological Advancements Due to Surging Dependence on Cleaner Fuels


With increasing dependence on cleaner fuels, there is increased importance on the development of efficient green energy production processes.


Biorefineries find massive applications in the field of chemical production. Cellulose and lignin from plant walls can be prospective renewable clean biofuel energy resources and high-value chemicals. However, it is challenging to disintegrate the intricate 3D structure of lignocellulosic biomass to harness this power.


The biomass is generally pre-treated before catalytic processing to overcome the hindrances in the lignocellulosic biomass deconstruction process. In 2019, Bloom Biorenewables SA developed the first technology to selectively transform cellulose and lignin into value-added chemical products.


In February 2022, the Oklahoma State University issued a patent for creating a new co-fermentation process that turns sugars into alcohols, organic acids, and ketones without any environmental impact. In this process, naturally occurring sugar-fermenting and gas-fermenting bacteria are incorporated and carbon dioxide is captured, which is further fermented to generate more biofuels. This process is anticipated to enhance biofuel yield.


In general, technological advancements in biorefining processes are anticipated to bolster the adoption of biorefineries globally.


DRIVING FACTORS


Rapid Industrialization and Urbanization to Bolster Market Expansion


There has been tremendous development in the industrial sector in terms of massive production rates coupled with immense technological advancements globally. The growing energy consumption in the industrial sector has driven an extensive need for renewable energy development. This has bolstered the bioenergy market growth, enhancing biorefineries' setup.


For instance, according to Trading Economics Data, industrial manufacturing in the U.S. Increased by 3.9% year-on-year in July 2022. The U.S. manufacturing sector increased by 3.2%, whereas mining grew by 7.9% and utilities by 2.2%. The U.S. Energy Information Administration stated that the industrial sector consumed over 35% of the country's total end-use energy consumption in 2021.


The growing urbanization has further enhanced energy consumption in the residential and commercial sectors globally. According to the U.S. Energy Information Administration, the average annual electricity consumption for a U.S. residential utility customer was 10,715 kWh in 2020.


The increasing electricity consumption enhances consumer traction toward renewable energy sources such as bioenergy. According to the International Renewable Energy Agency, the U.S. had a total electricity capacity of 13,574 MW from bioenergy. This is almost 4.2% of the total renewable energy electricity capacity.


Increasing Regulatory Policies for Environment Protection to Bolster Investments


Increased environmental awareness has propelled efforts to curb air, water, and soil pollution. This has brought about reformatory regulations by the government to increase investments in cleaner fuels, as opposed to conventional oil and gas, which cause immense pollution and leave a considerable carbon footprint. Countries have increasingly grown conscious of their carbon footprints and have announced targets to reduce their carbon emissions post the Paris Climate Change Agreement. This has indirectly fueled investments in biorefineries over the years.


According to the 2030 Climate Target Plan, the European Commission proposed to raise the European Union's emission reduction target to 55% below 1990. Previously, this target was set to be 40%. According to the International Energy Agency (IEA Bioenergy), in 2019, renewables accounted for 12% of the total energy supply in the U.K., and approximately 60% of the renewable energy was from biomass in the country. Furthermore, the Total Energy Supply (TES) from biomass in the U.K. amounted to 572 PJ (petajoules) in 2019.


The increased environmental awareness led to an increase in converting waste to energy. This has propelled the demand for biorefineries. Furthermore, the increasing need to manufacture chemicals sustainably has propelled the setup of biorefineries for chemical production.


RESTRAINING FACTOR


Restrictions on Feedstock Types to Hinder Market Growth


In September 2021, the German government announced that the use of palm oil in biofuel production would end in 2023. The country announced that it would target waste materials for biofuel production. Furthermore, in May 2022, Germany declared plans to reduce the use of biofuels produced from food crops due to growing food costs. Due to the Russia-Ukraine war, the disruption of exports led to a decrease in the supply of agricultural crops from Ukraine and Russia.


In 2007, China banned the use of grains as feedstock for biorefineries. The government started encouraging the growth of new biorefineries based on sweet potato, sweet sorghum, and cassava for ethanol production. After 2017, however, China stopped ethanol production grants for non-food grain and non-cellulosic feedstock use. Such restrictions on feedstock usage affect investments in biorefineries negatively.


Furthermore, many countries also lack a sound regulatory framework or targets for bioenergy and biorefinery. This has negatively affected investments in biorefineries. For instance, Australia does not have any biorefining targets. Nevertheless, the government has targeted 26% to 28% CO2 reduction by 2030. Furthermore, in October 2021, the government declared its CO2 reduction target of 100% by 2050.


Likewise, Denmark also lacks a national strategy for the setup of biorefineries. However, the government established the National Bioeconomy Panel (NBP), an advisory body to enhance the country's bioeconomy.


SEGMENTATION


By Feedstock Analysis


To know how our report can help streamline your business, Speak to Analyst


Starch & Sugar Crop Segment to Hold Significant Share Owing to Ease of Availability


Based on feedstock, the market is segmented into starch & sugar crops, energy crops, organic & agricultural residues, multifeedstock, and others. The starch & sugar crops segment is expected to hold a dominating share due to ease of availability.


According to the International Energy Agency, primary biomass is the main feedstock type of biorefinery, followed by secondary feedstock. Starch crops, sugar crops, energy (oil) crops, lignocellulosic biomass from croplands/grasslands, and lignocellulosic biomass from forestry can be classified under primary biomass. On the other hand, the main secondary biomass feedstock includes organic residues, followed by agriculture residues and forestry residues.


By Process Analysis


Biochemical Processes Segment to Dominate the Market Due to High Adoption of Fermentation Process


Based on process, the market is segmented into biochemical processes, chemical processes, mechanical/physical processes, thermochemical processes, and multiprocess.


The biochemical segment accounted for the highest global biorefinery market share in 2021.


According to the International Energy Agency, biochemical conversion is most commonly used in biorefineries and fermentation is massively used within that category. Chemical processes involve catalytic conversion, esterification, and hydrogenation as major technologies. The mechanical and thermo-chemical conversion processes include extraction, separation, gasification, and pyrolysis.


By Product Analysis


Energy Segment to Proliferate Due to Rising Demand for Biofuels


By product, the market is segmented into energy, chemicals, materials, and others, wherein the energy segment holds a significant market share.


According to the International Energy Agency, the main product group is energy, especially biofuels. Chemical is an important segment, which includes pharmaceuticals and nutraceuticals. Materials are the smallest product group, with polymers and fibers as the main types. The others segment includes animal feed and food.


REGIONAL INSIGHTS


Asia Pacific Biorefinery Market Size, 2021 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample


The market has been studied across five prominent regions. These include North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.


The global market portrays Asia Pacific as a dominant region. According to the U.S. Department of Energy, Alternative Fuels Data Centre, China has formulated policies that promote the production and usage of biofuel. The country is the third largest producer of ethanol at the global level.


Germany dominated the Europe market in 2021. The increasing policy development for Germany is anticipated to propel the country’s growth. The New German Bioeconomy Strategy of January 2020 provides the conditions to develop the full potential to strengthen Germany as a bioeconomy leader. The strategy highlights how biological knowledge and advanced technology are the pillars of a future-oriented, sustainable, and climate-neutral economy and relates to using biogenic raw materials by the industry.


The U.S. is projected to dominate the North America market during the forecast timeframe owing to increased government expenditure on bioenergy development initiatives. In June 2022, the U.S. Department of Energy (DOE) announced USD 59 million to enhance the production of biofuels and bioproducts in rural America. The funding supports the government’s Sustainable Aviation Fuel Grand Challenge goal of producing 3 billion gallons of aviation biofuel annually by 2030 and 35 billion gallons by 2050.


Brazil is anticipated to lead the Latin America market. The region has enhanced its focus on sustainable energy development and reducing its carbon footprint. This has propelled the launch of various investment initiatives pertaining to clean energy sources and biorefinery.


The Middle East & Africa market is anticipated to grow with increasing technological developments. For instance, in January 2022, a biorefinery was inaugurated in Istanbul. The plant will convert algae into jet fuel. The refinery deploys algae grown in reactors and tanks to produce biofuels, organic biofertilizers, animal feed, and dietary supplements.


KEY INDUSTRY PLAYERS


UPM Global and Orsted to Dominate the Industry Landscape


The global market is highly fragmented, with many key players delivering a wide range of products and services across the supply chain at local and global levels. Numerous companies are actively operating across different regions to cater to the customers' specific demands. Many of these establishments focus more on delivering newer technological developments for biorefineries, forming a significant portion of the global landscape. Key participants operating in the industry include UPM Global, Orsted, Neste, and Honeywell International Inc.


In January 2021, Valero Energy Corp. and Darling Ingredients Inc. announced that their joint venture, Diamond Green Diesel, decided to proceed with constructing a biodiesel production facility at Valero's Port Arthur, Texas refinery.


LIST OF KEY COMPANIES PROFILED:



  • Honeywell International Inc. (U.S.)

  • Chempolis (Finland)

  • Sekab (Sweden)

  • Ørsted A/S (Denmark)

  • IES BIOGAS srl (Italy)

  • AB HOLDING SPA (Italy)

  • Zea2 Bioworks (U.S.)

  • UPM Global (Finland)

  • Neste (Finland)

  • BTS Biogas Srl/GmbH (Italy)


KEY INDUSTRY DEVELOPMENTS:



  • September 2022 – AFYREN announced the inauguration of AFYREN NEOXY, its first large-scale plant, in Carling Saint-Avold, France. The announcement was made on the Chemesis industrial platform. Carboxylic acids are directly procured from sugar beet co-products through purification, extraction, and fermentation to provide a low-carbon alternative.

  • June 2022 – Fintoil along with Neste Engineering Solutions has chosen Emerson automation software and technologies to take advantage of its Hamina-Kotka biorefinery’s operative performance. The Finland-based facility produces advanced bio-fuels and bio-chemical feedstocks which will help in reducing emission and dependency on fossil-fuels.

  • May 2022 – VERBIO launched the first cellulosic RNG plant in Nevada, U.S. According to the company, farmers benefit from the company's new technology, wherein the waste straw from the field is collected, which would otherwise rot. The production chain gives straw humus, a high-quality biofertilizer, at the end.

  • April 2022 – Veolia launched the world's largest biorefinery project producing carbon dioxide-neutral bio-methanol from a pulp mill in Finland. Developed with Metsä Fibre, the largest cooperative forestry association in Europe, the refinery will use Veolia's innovative technology of commercial bio product-derived bio methanol production, which integrates the crude sulfate methanol refining into the pulp production process.

  • October 2021 – Coca-Cola Company, along with Changchun Meihe Science & Technology, and UPM announced their mapping out of commercial technologies to effectively convert secondary generated biomass into vegetable or into a plant-based monoethylene glycol. The technology is said to be in distinction to inedible hardwood feedstock from sawmills, side streams, and forest thinning.


REPORT COVERAGE


An Infographic Representation of Biorefinery Market

To get information on various segments, share your queries with us



The global biorefinery market research report comprehensively assesses the global market by offering valuable insights, facts, industry-related information, and historical data. Several methodologies and approaches are adopted to make meaningful assumptions and views. Furthermore, the report offers detailed analysis and information as per various segments, helping to get a comprehensive global industry overview. 


Report Scope & Segmentation



















































  ATTRIBUTE



  DETAILS



Study Period



2018-2029



Base Year



2021



Estimated Year



2022



Forecast Period



2022-2029



Historical Period



2018-2020



Unit



Value (USD Billion)



Segmentation



By Feedstock, Process, Product, and Region



Segmentation



By Feedstock



  • Starch & Sugar Crops

  • Energy Crops

  • Organic & Agricultural Residues

  • Multifeedstock

  • Others



By Process



  • Biochemical Processes

  • Chemical Processes

  • Mechanical/ Physical Processes

  • Thermochemical Processes

  • Multiprocess



By Product



  • Energy

  • Chemicals

  • Materials

  • Others



By Region



  • North America (By Feedstock, By Process, By Product, By Country)

    • U.S. (By Feedstock)

    • Canada (By Feedstock)



  • Europe (By Feedstock, By Process, By Product, By Country)

    • U.K. (By Feedstock)

    • Germany (By Feedstock)

    • France (By Feedstock)

    • Italy (By Feedstock)

    • Spain (By Feedstock)

    • Sweden (By Feedstock)

    • Rest of Europe (By Feedstock)



  • Asia Pacific (By Feedstock, By Process, By Product, By Country)

    • China (By Feedstock)

    • India (By Feedstock)

    • Japan (By Feedstock)

    • Indonesia (By Feedstock)

    • Australia (By Feedstock)

    • Rest of Asia Pacific (By Feedstock)



  • Latin America (By Feedstock, By Process, By Product, By Country)

    • Brazil (By Feedstock)

    • Mexico (By Feedstock)

    • Rest of Latin America (By Feedstock)



  • Middle East & Africa (By Feedstock, By Process, By Product, By Country)

    • Ethiopia (By Feedstock)

    • South Africa (By Feedstock)

    • GCC (By Feedstock)

    • Rest of Middle East & Africa (By Feedstock)





 





Frequently Asked Questions

Fortune Business Insights says that the global industry size was USD 41.88 billion in 2021 and is expected to reach USD 80.26 billion by 2029.

In 2021, the Asia Pacific market value stood at USD 15.67 billion.

The market is growing at a CAGR of 8.6% and will exhibit steady growth over the forecast period (2022-2029).

The starch & sugar crops segment is anticipated to hold a significant market share across all feedstocks and will dominate the market during the forecast period.

Increasing demand for energy due to rapid industrialization and urbanization is the key factor driving the market growth.

UPM Global and Orsted are the key participants operating across the industry.

Asia Pacific dominated the market in terms of share in 2021.

Increased environmental awareness has propelled efforts to curb air, water, and soil pollution and brought about reformatory regulations by the government to increase investments in cleaner fuels, which has indirectly fueled investments in biorefinery.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • Feb, 2023
  • 2021
  • 2018-2020
  • 220

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Client Testimonials

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X