What is the Market Size of Biomass | Industry Trends & Forecast 2026

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Code: MTA10716

Publication Date: Nov 2025

What is the size of Biomass Market?

According to 6Wresearch internal database and industry insights, the Biomass Market was valued at USD 141.29 Billion in 2025 and is expected to reach USD 225.24 Billion by 2032, growing at a CAGR of 6% during 2026-2032F.

The main drivers of this growth are the increasing demand for renewable energy alternatives, the rising focus on organic waste-to-energy conversion technologies, and the expanding deployment of biomass feedstocks in heat and power applications.

Growth Factors for Biomass Industry

Growing interest in biomass-based energy solutions as substitutes for conventional fossil fuel-based systems.
Demand for biomass is being driven by supportive government policies and renewable energy mandates across regions.
Growing emphasis among companies and utilities on sustainable waste utilisation and circular economy models.
Expansion of advances in conversion technologies and scaling of supply-chains for biomass feedstocks.
Innovation in bio-energy value chains offering combined heat and power (CHP), pellets, biogas and bio-liquid fuels.

Biomass Market Trends

The Biomass Market is manifesting trends such as increasing use of agricultural and forestry residues alongside dedicated energy crops for feedstock diversification, and expanded use of anaerobic digestion and gasification as conversion pathways. Partnerships between utilities, biomass producers and pellet manufacturers are intensifying to secure reliable supply-chains. Also, development of small-scale modular biomass units for industrial and commercial end-users is gaining traction.

Emerging Developments in the Biomass Market

The Biomass Market is witnessing developments including the roll-out of combined heat and power (CHP) plants utilising biomass alongside integration of carbon capture technologies for negative-emissions solutions, and structured offtake contract models for biomass pellets. Growth of bio-liquid and biogas markets is enhancing the role of biomass in transport and industrial sectors, and digital-monitoring of feedstock logistics is improving supply-chain transparency.