PUBLISHER: The Business Research Company | PRODUCT CODE: 1672313
PUBLISHER: The Business Research Company | PRODUCT CODE: 1672313
Bioethanol refers to ethanol production from agricultural materials such as corn or sugarcane, used as an alternative fuel. It is an alcohol produced through microbial fermentation of carbohydrates found in plants containing sugar or starch, such as corn, sugarcane, sweet sorghum, or lignocellulosic biomass.
The primary types of bioethanol include corn-based, sugarcane-based, and cellulosic ethanol. Corn ethanol, derived from corn biomass, is the most prevalent type. It is available in various blends such as E10, E20, E25, E70, E75, E85, and others, using production methods such as dry milling and wet milling. Bioethanol finds applications in automotive and transportation, food and beverage, pharmaceuticals, cosmetics, and other industries.
The bioethanol market research report is one of a series of new reports from The Business Research Company that provides bioethanol market statistics, including bioethanol industry global market size, regional shares, competitors with a bioethanol market share, detailed bioethanol market segments, market trends and opportunities, and any further data you may need to thrive in the bioethanol industry. This bioethanol market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The bioethanol market size has grown rapidly in recent years. It will grow from $46.14 billion in 2024 to $51.65 billion in 2025 at a compound annual growth rate (CAGR) of 11.9%. The growth in the historic period can be attributed to increased demand for clean energy sources, increasing fuel costs, growing demand from the automotive and transportation sectors, and emerging markets growth.
The bioethanol market size is expected to see rapid growth in the next few years. It will grow to $82.39 billion in 2029 at a compound annual growth rate (CAGR) of 12.4%. The growth in the forecast period can be attributed to government support, global population growth and urbanization, a shift to alternative sources of power generation, favorable regulations for blending ethanol, increasing research and development (R&D) activities, and increasing global awareness to reduce greenhouse gas emissions. Major trends in the forecast period include investing in second-generation bioethanol, the use of artificial intelligence, new plant expansions, collaborations and acquisitions, technological advancement, and product innovations.
The surge in environmental concerns is anticipated to propel the growth of the bioethanol market in the foreseeable future. Environmental concerns encompass apprehensions regarding the quality of air, water, and soil in the natural environment. The utilization of bioethanol has demonstrated positive environmental impacts by reducing exhaust gas emissions, thereby enhancing the efficiency of transportation facilities and bolstering energy security. As an illustrative example, the International Energy Agency (IEA), an autonomous intergovernmental organization based in Paris, projects a 50% increase in CO2 emissions in India by 2040. Consequently, the escalating environmental concerns are poised to be a driving force for the growth of the bioethanol market.
Government support is expected to play a pivotal role in steering the growth of the bioethanol market. Governments worldwide are actively endorsing the biofuel sector to foster innovative solutions that cater to the evolving needs of the industry. In a noteworthy development, the U.S. Department of Energy (DOE) allocated $118 million in funding for 17 projects in January 2023. These initiatives, situated at universities and private companies, aim to accelerate the production of sustainable biofuels to meet the transportation and manufacturing requirements in the United States. The chosen projects will advance biorefinery development, from pre-pilot to demonstration stages, facilitating the creation of biofuels and bioproducts that contribute to a significant reduction in greenhouse gas (GHG) emissions associated with fossil fuels. This government support aligns with the DOE's goal of achieving cost-competitive biofuels and a minimum 70% reduction in GHG emissions by 2030. Consequently, the increasing support from governments for biofuels is anticipated to be a driving factor for the bioethanol market in the future.
Major companies in the bioethanol market are prioritizing the development of innovative products, including high-performance enzymes and sustainable fermentation technologies, to improve plant efficiency, increase yields, and lower carbon emissions. These advanced bioenergy production innovations are designed to enhance both efficiency and sustainability in bioethanol production. For example, in May 2022, BASF, a Germany-based player in the bioethanol industry, launched Spartec, specifically designed for the North American bioethanol market. This brand aims to establish a new standard for performance and service by addressing key customer requirements such as enhancing plant performance, boosting yields, improving efficiency, and reducing carbon intensity. The company is concentrating on collaborations with customers and strategic partners to deliver sustainable solutions and innovative enzymes that add value to ethanol production.
Companies operating in the bioethanol market are also focusing on the expansion and integration of advanced bioenergy production technologies, such as scaling up industrial biorefineries, to enhance sustainability, maximize resource utilization, and create new revenue streams for local growers. These industrial-scale biorefineries convert biomass, like corn or sugarcane, into renewable fuel through fermentation and distillation processes, supporting large-scale sustainable energy production. For instance, in August 2024, Verbio AG, a Germany-based European biofuels and bioenergy producer, commenced commercial production of corn-based ethanol at its biorefinery in Nevada, Iowa. The facility has a capacity of 60 million gallons of ethanol per year and can produce 2.3 million MMbtu of renewable natural gas (RNG). This biorefinery uniquely combines the production of bioethanol and biomethane, enhancing sustainability and generating new revenue streams for local growers. The Nevada plant is the first industrial-scale facility in North America to integrate RNG and bioethanol production.
In September 2024, NewEnergyBlue, a US-based clean technology company, acquired Inbicon biomass-conversion technology from Orsted A/S for an undisclosed amount. This acquisition is intended to enhance NewEnergyBlue's operations by employing Inbicon's technology to convert agricultural waste into decarbonized biofuels and biochemicals. With global licensing and ownership of Inbicon's patent portfolio, NewEnergyBlue aims to expand beyond the Americas and explore new markets. Orsted A/S is a Denmark-based power company specializing in renewable energy.
Major companies operating in the bioethanol market include CropEnergies AG, Valero, Green Plains, Archer-Daniels-Midland Company, Tereos SCA, Raizen, Cristalco, Abengoa Bioenergy, POET, Alto Ingredients, Bajaj Hindusthan Sugar Ltd, Balrampur Chini Mills Ltd, Dalmia Bharat Sugar and Industries Ltd, Shree Renuka Sugars Ltd, Chengzhi shareholding Co.Ltd, SDIC Jilin Alcohol, Henan Tianguan, Triveni Engineering and Sugar Industries, Bio-Concept Altmark GmbH, Sovetskiycellulozno-bumajniyzavod, ???, KRAKCHEMIA SA, Alcoholera de Zapopan, LyondellBasell Industries, Absolute Energy LLC, Ace Ethanol LLC, Adkins Energy LLC, Al-Corn Clean Fuel LLC, Amber Wave, Alto Ingredients Columbia Inc, Borregaard, Alcotra, Cremer OLEO, Praj Industries, W.R.Grace, Lootah Biofuels, Nuberg, Dubizzle, OMV, BBGI Bioethanol Public Company Limited, EcoSmart Fire, Neutral Fuels, Koko Networks, SMEFUNDS - GEB, Green Energy Biofuels, Kiri Dyes and Chemicals Limited, Biogen Kenya
North America was the largest region in the bioethanol market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the bioethanol market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the bioethanol market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, the USA, Italy, Spain, Canada.
The bioethanol market consists of sales of starch-based ethanol and algal biomass-based ethanol. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The market value includes the value of related goods sold by the service provider or included within the service offering.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Bioethanol Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on bioethanol market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for bioethanol ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The bioethanol market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.