What is the market size for biomass | Size, Share & Industry Forecast 2025

Code: MTA10513 Publication Date: Nov 2025

What is the size of Biomass Market?

According to 6Wresearch internal database and industry insights, the Biomass Market was estimated at USD 110 billion in 2024 and is projected to reach USD 168 billion by 2031, expanding at a CAGR of 6.2% during the forecast period 2025-2031.

There are numbers of factors which are contributing in the expansion of the market include increasing demand for renewable and sustainable energy sources, growing emphasis on reducing carbon emissions, and supportive government policies promoting bioenergy.

Key Growth Drivers of the Biomass Market

  • Rising adoption of renewable energy for sustainable power generation
  • Government incentives supporting biomass-based energy projects
  • Increasing use of agricultural and forestry waste for biofuel production
  • Advancements in biomass conversion and gasification technologies
  • Growing need for low-carbon alternatives in industrial energy generation
  • Rising awareness about waste-to-energy and circular economy initiatives

Biomass Market Trends

Biomass Market is witnessing major growth trends such as the rising integration of biomass in combined heat and power systems and co-firing with coal to enhance energy efficiency. The demand for advanced biomass pellets and briquettes as a clean fuel alternative is growing rapidly. There is a shift toward decentralized biomass energy systems to improve rural electrification. Additionally, advances in anaerobic digestion and biogas upgrading are making more energy available. More, businesses are focusing on finding sustainable sources of feedstock to make sure they always have enough. Additionally, biomass-to-liquid and waste-to-fuel technologies are becoming more popular, and digital monitoring tools are being used to make energy production more efficient.

Emerging Developments in the Biomass Market

Biomass Market is evolving with advancements in enzymatic hydrolysis and pyrolysis technologies that enhance biofuel conversion efficiency. More research and development into using lignocellulosic biomass is opening up new feedstock options beyond food crops. Energy companies and research institutions are working together to come up with better bioenergy solutions. New money is going into big biorefineries, which makes it possible to make bio-based chemicals, fuels, and materials. Investors who care about the environment are very interested in the growth of carbon-neutral biomass projects. Using AI and IoT together in biomass plants for predictive maintenance and process optimization is also making things run more smoothly.

List of Leading Companies in the Biomass Market

Some of the leading companies include:

  • Enviva Inc.
  • Drax Group plc
  • Enerkem Inc.
  • Babcock & Wilcox Enterprises, Inc.
  • Abengoa Bioenergy S.A.
  • Vattenfall AB

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