Asia-Pacific’s Biomass Briquette Industry Gains Momentum with Renewable Energy Transition
By kyle 28-09-2026 1
The Asia-Pacific region is increasingly turning agricultural, forestry, and industrial residues into useful energy resources as governments and industries seek alternatives to conventional fossil fuels. Biomass briquettes offer a practical way to densify materials such as sawdust, rice husk, sugarcane bagasse, coconut shells, and other residues into more convenient solid fuels. Their growing use is connecting waste management, renewable energy, industrial heating, and rural economic development across several Asian economies.
According to a comprehensive assessment by Markntel Advisor, the Asia-Pacific biomass briquette industry was valued at USD 3.45 billion in 2025 and is projected to reach USD 6.22 billion by 2032, registering a CAGR of 8.82% during 2026–2032. The Asia-Pacific biomass briquette industry report identifies abundant agricultural and forestry residues, supportive renewable-energy policies, technological development, and rising demand for cleaner industrial fuels as key factors supporting this expansion.
Abundant Residues Create a Strong Feedstock Base
One of the biggest advantages for the region is the availability of agricultural and forestry waste. Rice husk, sawdust, sugarcane bagasse, coconut shells, and other residues are generated in substantial quantities across countries such as China, India, Indonesia, Malaysia, Thailand, and Vietnam.
Converting these materials into briquettes can create additional value while reducing the amount of agricultural and forestry waste requiring disposal. The FAO’s Bioenergy and Food Security resources specifically identify crop and livestock residues as potential feedstocks for solid biofuels, including briquettes and pellets, while also emphasizing the importance of evaluating feedstock availability and economic viability.
Sawdust Briquettes Maintain a Leading Position
Sawdust briquettes represent the leading product type across the Asia-Pacific region. The strong position of this segment is supported by the region’s extensive wood-processing, sawmilling, and plywood industries, which generate concentrated streams of wood residues.
According to the industry assessment, key Asia-Pacific countries collectively generate around 42 million cubic meters of mill residues annually, with approximately 90% originating from China, India, Indonesia, and Malaysia. The concentration of these residues near industrial centers can make collection and processing more efficient, supporting larger-scale briquetting operations.
Sawdust also offers relatively consistent characteristics for densification, helping producers manufacture uniform fuels suitable for industrial heating and other applications.
Industrial Process Heating Drives Adoption
Industrial process heating represents the dominant application for biomass briquettes. Manufacturing facilities across Asia-Pacific require substantial quantities of thermal energy for boilers, steam generation, drying, and other industrial processes.
The region’s large textile, food-processing, rice-milling, rubber, brick-making, and manufacturing industries provide a broad potential customer base for solid biomass fuels. The IEA’s analysis of renewable heat highlights the growing role of bioenergy in industrial heat, including the use of biomass residues and briquettes in countries such as India, demonstrating the relevance of biomass fuels to industrial energy transitions.
Briquettes can provide a denser and more standardized fuel compared with loose biomass residues, making storage, transportation, and combustion management easier for industrial users.
Government Policies Encourage Renewable Fuel Adoption
Governments across Asia-Pacific are increasingly introducing policies aimed at reducing dependence on fossil fuels and expanding renewable energy. China, India, Japan, South Korea, Indonesia, Thailand, and other countries are developing programs that encourage biomass utilization and cleaner energy generation.
India is promoting biomass utilization through renewable-energy initiatives, while Japan and South Korea are supporting biomass-based electricity and carbon-reduction objectives. Southeast Asian countries are also exploring public-private partnerships to improve waste collection, biomass processing, and renewable-energy infrastructure.
These policy developments can encourage investment in briquetting plants, processing technologies, research facilities, and logistics networks.
Carbon-Neutral and Export-Ready Briquettes Gain Attention
Another emerging trend is the development of higher-quality briquettes designed for international trade. Producers in Malaysia, India, and Vietnam are increasingly focusing on cleaner production processes, improved fuel quality, sustainability certification, and lower-emission manufacturing.
Growing demand from Japan and South Korea is encouraging suppliers to improve consistency and meet international specifications. Certifications and responsible sourcing practices can help exporters demonstrate fuel quality and environmental credentials while accessing premium applications.
This trend could strengthen Asia-Pacific’s role as both a major producer and exporter of biomass-based solid fuels.
Research and Training Strengthen the Industry
The expansion of bioenergy research and training facilities is also helping improve technical capabilities. Countries are investing in programs that support briquetting technology, quality testing, biomass resource assessment, and operator training.
Improved technical knowledge can help small and medium-sized producers address common problems related to moisture content, feedstock preparation, densification pressure, combustion characteristics, and product consistency.
Research can also contribute to more efficient machinery and lower energy consumption during briquette production, improving the commercial viability of smaller production units.
Inconsistent Feedstock Supply Remains a Challenge
Despite strong feedstock availability, inconsistent supply remains one of the sector’s major challenges. Agricultural residues are often seasonal, and their availability can fluctuate considerably between harvesting periods.
In some areas, residues may also be diverted toward animal feed, fertilizers, particleboard, or other applications. Poor collection infrastructure and transportation limitations can further increase procurement costs and disrupt production.
The FAO’s research on sustainable bioenergy in Asia emphasizes that successful briquetting operations require stable feedstock supplies, reliable demand, appropriate product quality, and effective commercialization strategies. This makes efficient biomass collection and supply-chain planning essential for long-term growth.
China Leads Regional Development
China represents the leading country-level segment, supported by renewable-energy policies, industrial demand, and abundant agricultural and forestry residues. Industrial clusters across provinces such as Shandong, Jiangsu, Henan, and Heilongjiang provide favorable conditions for large-scale production and consumption.
India is another important growth center because of its substantial agricultural residue base and expanding interest in biomass-based industrial energy. Meanwhile, Japan and South Korea remain significant demand centers, particularly for cleaner power generation and renewable-energy applications.
Outlook for Asia-Pacific
The Asia-Pacific biomass briquette industry is moving toward a more organized, technology-driven, and internationally connected ecosystem. Abundant agricultural and forestry residues provide a strong feedstock foundation, while industrial heating demand creates a scalable end-use opportunity.
Over the coming years, growth will depend on reliable feedstock collection, improved production efficiency, supportive government policies, sustainability certification, and stronger regional trade infrastructure. As countries pursue cleaner energy systems and seek productive uses for agricultural and forestry residues, biomass briquettes can play an increasingly important role in the region’s transition toward more diversified and resource-efficient energy solutions.
Tags : Biomass Briquette Industry
