According to a new report by UnivDatos, the India Biomass Market is expected to reach USD Million in 2033 by growing at a CAGR of 7.47% during the forecast period (2025-2033F). The agricultural potential in India is very high, and therefore, the country has a continuous supply of crop residues, which comprise the backbone of India's biomass value chain. Furthermore, favorable government policies, such as SATAT (Sustainable Alternative Towards Affordable Transportation) and the National Bio-Energy Programme, are accelerating infrastructural and plant growth. Also, the rise in industries demanding cleaner and comparatively economical energy is driving companies towards the use of biomass solutions. Therefore, these developments are establishing a healthy environment of scalable and sustainable biomass in the nation.

On March 28, 2025, Department of Agriculture and Farmers Welfare (DA&FW) is primarily supporting the efforts of States of Punjab, Haryana, Uttar Pradesh and NCT of Delhi for combating paddy stubble burning under the Crop Residue Management Scheme being implemented from 2018-19, focusing on both in-situ and ex-situ management of paddy straw. The intervention aims at establishing a robust supply chain of paddy straw for various end-user industries in biomass power generation and biofuel sectors.

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Trend: Integration with Waste Management

An emerging trend in the India biomass market is the connection of biomass energy schemes to municipal and agricultural waste management networks. The segregated wastes of organic waste and crop residues are also being utilized by companies to generate biogas, pellets, and biofuels, and are being converted into profit-generating energy forms. It is a strategy that helps both in energy production and waste management, as part of urban sustainability and Swachh Bharat initiatives. It also provides access to public-private partnerships in establishing decentralized waste-to-energy facilities, increasing the practice of circular economy within the cities, as well as rural India.

For instance, on April 2, 2025, according to the Ministry of Science & Technology, Indian Scientists developed advanced technologies for solid waste management, including plastic waste. Significant progress has been made by Indian researchers, institutions, and innovators in devising technologies and strategies to manage solid waste. These technologies are high-rate bio methanation technology, decentralized solid waste management technology, technology to recycle the Construction & Demolition (C&D) waste, and others.

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According to the report, the impact of Biomasss has been identified to be high in the South India area. Some of how this impact has been felt include:

South India is expected to grow with a significant CAGR during the forecast period (2025-2033). The South region is becoming an upcoming, fast-expanding biomass market due to the industrial need for biomass and well-developed, strong renewable energy policies like those in Tamil Nadu, Andhra Pradesh, and Karnataka. These states provide an active regulatory climate, good connectivity on the grid, as well as co-firing and decentralized energy incentives. Firms are turning to biomass boilers and CBG plants in order to minimize coal and oil dependency. The existence of mature biomass equipment suppliers and EPC companies facilitates the speedier project development, as well. Due to the increased awareness regarding sustainable energy and governmental goals, the South is turning into a biomass-based industrial hotspot.

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