Biomass Solid Fuel Market

By Source;

Wood Pellets, Crop Residue, Energy Crops, Municipal Solid Waste (MSW) and Others

By Application;

Space Heating/Cooling, Cooking, Heat Processing, Electricity Generation and Others

By End-Use;

Industrial, Institutional and Domestic

By Geography;

North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)
Report ID: Rn741806645 Published Date: September, 2025 Updated Date: October, 2025

Biomass Solid Fuel Market Overview

Biomass Solid Fuel Market (USD Million)

Biomass Solid Fuel Market was valued at USD 264,626.02 million in the year 2024. The size of this market is expected to increase to USD 471,456.18 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 8.6%.


Biomass Solid Fuel Market

*Market size in USD million

CAGR 8.6 %


Study Period2025 - 2031
Base Year2024
CAGR (%)8.6 %
Market Size (2024)USD 264,626.02 Million
Market Size (2031)USD 471,456.18 Million
Market ConcentrationMedium
Report Pages354
264,626.02
2024
471,456.18
2031

Major Players

  • Drax Biomass Inc.
  • Aggregated Micro Power Holdings plc
  • PVM Environmental Products
  • VGrid Energy Systems
  • Fulcrum BioEnergy

Market Concentration

Consolidated - Market dominated by 1 - 5 major players

Biomass Solid Fuel Market

Fragmented - Highly competitive market without dominant players


The Biomass Solid Fuel Market is expanding rapidly as the transition to cleaner energy systems gains momentum. More than 45% of renewable installations now incorporate biomass-derived fuels, highlighting their role in reducing reliance on fossil energy. Industries are prioritizing these fuels due to their ability to deliver low-carbon power while meeting sustainability commitments.

Expanding Role in Industrial Energy Use
Adoption across industries is strengthening, with almost 38% of manufacturing facilities relying on biomass fuels for heat, power, and co-firing needs. Their flexibility and compatibility with existing infrastructure allow companies to achieve operational savings while reducing environmental impact. This dual advantage makes biomass a critical energy alternative for energy-intensive sectors.

Innovations Improving Energy Performance
Technological innovations are reshaping biomass utilization, with about 50% of systems adopting advanced densification and torrefaction techniques. These improvements enhance fuel density and combustion quality, ensuring better storage, transport, and efficiency outcomes. Such advancements are making biomass fuels a more competitive option against traditional fossil-based resources.

Strengthening Energy Diversification
Biomass fuels contribute significantly to energy diversification, with around 40% of energy initiatives integrating them as stable alternatives. Their use reduces vulnerability to fuel price fluctuations while ensuring grid stability and supply reliability. This positions biomass as a crucial component of future-ready energy frameworks focused on resilience.

  1. Introduction
    1. Research Objectives and Assumptions
    2. Research Methodology
    3. Abbreviations
  2. Market Definition & Study Scope
  3. Executive Summary
    1. Market Snapshot, By Source
    2. Market Snapshot, By Application
    3. Market Snapshot, By End-Use
    4. Market Snapshot, By Region
  4. Biomass Solid Fuel Market Dynamics
    1. Drivers, Restraints and Opportunities
      1. Drivers
        1. Government incentives for biomass utilization
        2. Desire to reduce carbon emissions
        3. Rising energy demands in developing regions
        4. Integration of biomass in existing energy infrastructure
      2. Restraints
        1. Public concerns over land use and biodiversity
        2. Technical limitations in biomass conversion
        3. Variability in biomass quality and composition
      3. Opportunities
        1. Utilization of marginal lands for biomass cultivation
        2. Promotion of community-based biomass initiatives
        3. Integration of biomass in combined heat and power systems
        4. Adoption of biomass for decentralized energy solutions
    2. PEST Analysis
      1. Political Analysis
      2. Economic Analysis
      3. Social Analysis
      4. Technological Analysis
    3. Porter's Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of Substitutes
      4. Threat of New Entrants
      5. Competitive Rivalry
  5. Market Segmentation
    1. Biomass Solid Fuel Market, By Source, 2021 - 2031 (USD Million)
      1. Wood Pellets
      2. Crop Residue
      3. Energy Crops
      4. Municipal Solid Waste (MSW)
      5. Others
    2. Biomass Solid Fuel Market, By Application, 2021 - 2031 (USD Million)
      1. Space Heating/Cooling
      2. Cooking
      3. Heat Processing
      4. Electricity Generation
      5. Others
    3. Biomass Solid Fuel Market, By End-Use, 2021 - 2031 (USD Million)
      1. Industrial
      2. Institutional
      3. Domestic
    4. Biomass Solid Fuel Market, By Geography, 2021 - 2031 (USD Million)
      1. North America
        1. United States
        2. Canada
      2. Europe
        1. Germany
        2. United Kingdom
        3. France
        4. Italy
        5. Spain
        6. Nordic
        7. Benelux
        8. Rest of Europe
      3. Asia Pacific
        1. Japan
        2. China
        3. India
        4. Australia & New Zealand
        5. South Korea
        6. ASEAN (Association of South East Asian Countries)
        7. Rest of Asia Pacific
      4. Middle East & Africa
        1. GCC
        2. Israel
        3. South Africa
        4. Rest of Middle East & Africa
      5. Latin America
        1. Brazil
        2. Mexico
        3. Argentina
        4. Rest of Latin America
  6. Competitive Landscape Analysis
    1. Company Profiles
      1. Svenska Cellulosa Aktiebolaget SCA
      2. BTG Biomass Technology Group
      3. Eni S.p.A.
      4. Fulcrum BioEnergy
      5. SOCOTEC Group
      6. Drax Biomass Inc.
      7. Aggregated Micro Power Holdings plc
      8. PVM Environmental Products
      9. VGrid Energy Systems
      10. Vattenfall AB
      11. Mitsubishi Heavy Industries Ltd.
      12. MVV Energie AG
      13. A2A SpA
      14. Hitachi Zosen Corp.
      15. Babcock & Wilcox Enterprises
  7. Analyst Views
  8. Future Outlook of the Market