Increasing demand for biodiesel in the automotive and power generation industry will stimulate the global Biodiesel industry
The global biodiesel market size is projected to reach nearly USD 47.5 billion by 2028. Additionally, the market is forecasted to grow a CAGR of above 4.7% over the forecast period of 2020-2028. The growing prominence of biofuels as an alternative source in place of conventional fossil fuels is the key factor to supplement market growth. Increasing usage of biodiesel in power generation and automotive fuels is also projected to supplement market growth over the forecast period.
Biodiesel is an advanced biofuel that is sustainable and clean burning and can be made from various sources such as vegetable oils and animal fats. Biodiesel is seen as a renewable, domestic, and safe biofuel. Due to environmental degradation and resource depletion of conventional fossil fuels such as coal, the biodiesel industry is expected to see rapid growth in the coming years. Biodiesel is increasingly being used in the automotive industry, as it is consistent with the current system for engine and fuel use. Biofuels are used in power generation to run electricity generators. The global biofuel market overall is estimated to be witnessing impressive growth in the coming years.
The report also outlines the various characteristics of the global Biodiesel industry by assessing the market from value chain analysis. Moreover, the Biodiesel market report comprises various qualitative parts of the Biodiesel industry in market restraints, essential industry drivers, and opportunities. Furthermore, the report provides a complete assessment of the market through company profiling and the competitiveness of the local as well as global vendors.
The biodiesel market has huge competition amongst the already well-known and new market players. Also, the Biodiesel industry players are pursuing potential markets to seize a competitive lead among the other industry players by forming mergers & acquisitions, agreements, acquiring other companies & new startups, establishing collaboration & partnerships, and growing their business existence.
The global biodiesel market is categorized by the feedstock and application segment. By the feedstock segment, vegetable oils dominated the market in 2019. High production capacities of soyabean oil, canola oils & corn oil along with cheaper price and know-how awareness about the process supported the market growth. In terms of application, the fuel segment dominated biodiesel demand owing to the growing usage of biodiesel in passenger cars.
By region, Europe dominated the biodiesel demand with >37% market share in 2019, whereas Asia Pacific emerged as the fastest-growing region. Rapid growth in end-user industries is projected to fuel the demand for biodiesel in the coming years.
The global biodiesel market is a highly fragmented industry with the presence of a large number of players. Major players in the global biodiesel market include Bunge Limited, Archer Daniels Midland Company (ADM), Neste Corporation, Wilmar International Limited, Biox Corporation, Cargill Inc, Terravia Holdings Inc., Renewable Energy Group Inc, Münzer Bioindustrie GmbH and several others.
Segment Overview of Global Biodiesel Market
Feedstock Overview, 2018-2028 (USD Billion) (Million Litres)
- Vegetable Oils
- Soybean oil
- Canola oil
- Other edible oils
- Animal fats
- White grease
Application Overview, 2018-2028 (USD Billion) (Million Litres)
- Power generation
Regional Overview, 2018-2028 (USD Billion) (Million Litres)
- Rest of Europe
- Rest of Asia-Pacific
Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- Rest of South America