Biomass Briquette Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Global Biomass Briquette Market Trends and Insights

Government Co-firing Mandates in Coal Plants

India, Indonesia, and Poland now stipulate biomass blends of 5%-10% by energy content at coal stations, creating predictable offtake volumes for briquette suppliers.^{[2]Press Information Bureau, “Biomass Co-firing in Thermal Power Plants,” pib.gov.in} India alone co-fired 164,976 metric tons by March 2025, while Indonesia’s PLN targets 3.2 million metric tons annually by 2028. Poland tops up each percentage point above 5% with a EUR 15 per MWh subsidy.^{[3]European Commission, “Carbon Border Adjustment Mechanism,” ec.europa.eu} ISO 17225-8 testing is emerging as the de facto quality gate.

Surge in Boiler Retrofits for Solid Biofuels

Industrial and district-heating operators in the United Kingdom, Denmark, and Canada are converting legacy coal and oil boilers, spurred by carbon-pricing schemes and subsidy pools totaling GBP 120 million in the UK alone. Ørsted’s GBP 400 million Avedøre retrofit eliminated 1.2 million metric tons of coal a year. Canada’s Clean Fuel Regulations now extend credits to industrial heat users that shift to certified briquettes.^{[4]Government of Canada, “Clean Fuel Regulations,” canada.ca}

Rural Electrification Programs in Sub-Saharan Africa

World Bank-funded gasifier projects in Kenya, Uganda, and Tanzania are replacing charcoal with briquettes, covering 47,000 households. Nigeria’s Rural Electrification Agency deployed 250 kW briquette generators in 35 villages, offsetting diesel imports priced at USD 1.20 per liter. The African Development Bank’s Desert to Power initiative targets 10 million new connections by 2030.

EU Carbon Border Adjustment Mechanism Spill-over

From January 2026, importers must disclose embedded GHG emissions; briquettes made on coal-heavy grids in Turkey now attract a levy, redirecting demand to torrefied products that deliver 22 MJ/kg and lower freight emissions.

Low-priced LNG Glut in Southeast Asia

Spot LNG below USD 10 per MMBtu kept Thai and Philippine industries on gas through early 2026, delaying briquette boiler conversions. An Asian Development Bank survey showed 62% of Vietnamese plants mothballed retrofits when gas slipped under USD 9 per MMBtu.

High Intra-continental Logistics Cost for Low-density Briquettes

Road freight of sawdust briquettes over 1,000 km in Sub-Saharan Africa costs USD 35–45 per metric ton, or up to 40% of plant-gate prices. Torrefaction lifts bulk density to 800 kg/m³, but the 25% price premium curbs uptake beyond export channels.

*Our forecasts treat driver/restraint impacts as directional, not additive. The impact forecasts reflect baseline growth, mix effects, and variable interactions.

Segment Analysis

By Type: Torrefaction Unlocks Coal-Parity Performance

Torrefied Briquettes are on course to expand at a 10.3% CAGR, far above the biomass briquette market average, reflecting utilities’ need for hydrophobic, high-energy products that slipstream into existing coal conveyors. The biomass briquette market size for torrefied variants is projected to reach USD 450 million by 2031, commanded by high-heating-value shipments to Europe and Northeast Asia. Agro Briquettes remain cost-advantaged at USD 100-130 per metric ton and held 42.3% of the biomass briquette market share in 2025.

Wood Briquettes continue to serve premium residential heat markets thanks to 0.5%-2.0% ash and predictable combustion profiles. Charcoal-Blend Briquettes, with 10%-20% charcoal fines, are popular among African households for fast ignition and reduced smoke. Emerging categories such as algae-based briquettes remain pilot-scale until waste-collection and regulatory hurdles are cleared.

By Raw Material: Rice Husk Scales on Co-Firing Momentum

Rice husk is accelerating at a 9.5% CAGR as Indonesia and Vietnam monetize residues through 10% co-firing pilots, elevating its share of the biomass briquette market size for raw materials. Sawdust remained dominant at 29.5% in 2025, but pellet-sector pull has tightened supply and nudged prices up by 12% year-on-year.

Bagasse, abundant in Brazil and India, requires energy-intensive drying yet benefits from proximity to sugar mills. Groundnut Shells and Coconut Husks capture low-opportunity-cost feedstocks for cooking-fuel briquettes in West Africa and the Philippines. Forest residues gain traction in Nordic district-heating schemes that demand FSC-certified inputs to comply with EU sustainability criteria.

By Application: Cooking Fuel Captures Clean-Energy Transition

Cooking Fuel is forecast to grow at 9.9% annually as donor-funded stove rollouts bypass liquefied petroleum gas bottlenecks. Nigeria’s 250,000 improved cookstoves reduce indoor PM by 60% versus three-stone fires. Power Generation retained 37.0% of demand in 2025, underpinned by co-firing mandates in India, Indonesia, and Poland.

Industrial Process Heating is next in line as carbon-credit payouts shorten payback to four years for Canadian pulp mills burning certified briquettes. Commercial and Institutional Heating enjoys tariff-protected contracts, while Residential Space Heating in Europe faces subsidy-driven competition from heat pumps.

Geography Analysis

Asia-Pacific accounted for 48.9% of 2025 revenue and will expand at 8.8% annually, anchored by India’s 5%–7% co-firing rule and China’s small-coal-unit retirements. Indonesia targets 3.2 million t/y rice-husk blends by 2028, and Japan imports torrefied briquettes to earn feed-in-tariff credits despite USD 35–50 per metric ton ocean freight.

Europe ranks second, propelled by GBP 120 million in UK boiler-retrofit grants and Denmark’s Avedøre conversion. CBAM’s embedded-carbon reporting favors high-energy torrefied products, while Nordic countries channel forestry residues into district heating for >80% GHG savings.

North America advances on the back of southeastern U.S. sawdust briquette exports to Japan and South Korea and Canada’s Clean Fuel Regulations, which credit industrial heat users who switch from natural gas. South America’s growth is led by Brazil’s bagasse surplus and Colombia’s coffee-husk initiatives. The Middle East and Africa remain dominated by clean-cooking programs using rice-husk and groundnut-shell briquettes.