Bio Ethanol Market Industry Development Scenario and Forecast to 2025
The main sources for the production of bioethanol are energy crop such as maize, corn, waste staw, wheat crops, saw dust, willow, cord grasses, reed canary grass, sorghum plants, myscanthus, and jerusalem artichoke among others.
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One of the major factor which is expected to increase the demand for bioethanol is increasing demand for renewable energy source. Bioethanol is a is produced from biomass by sugar fermentation and chemical processes which forms an attractive alternative to conventional fuel coupled with decreasing conventional resources of energy.
According to International Energy Agency (IEA), in 2016, renewable source of energy accounted for two-third of the net power capacity with 165 gigawatts of power capacity compared to other sources. Hence, increasing awareness towards renewable sources of energy is expected to fuel the global bioethanol market during the forecast period.
North America is expected to hold the largest share in the global bioethanol market during the forecast period. Various regulations such as E15 regulations and the Federal Reformulated Gasoline (RFG) is expected to fuel the use of bioethanol in various sectors such as transportation, aerospace among others.
The Energy National Bioethanol Program by the U.S. Department of Energy (DOE) is expected to reduce the cost of bioethanol by 25% as more emphasis is given to technology for producing more of ethanol from biomass with integrated production processes. In Canada, a federal mandate of a 5% renewable fuel content (i.e. gasoline must be blended with bioethanol), that came into effect in 2010.
According to Canada’s National Energy Board, consumption of all renewable biofuels including biodiesel and bioethanol, contributed around 1.1% of total transportation fuel used in 2009 and is projected to triple to 3.3% by 2035. Owing to these factors, the North America bioethanol market is expected to gain highest traction for the global bioethanol market during the forecast period.
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Key players operating in the field of still wine include The Archer Daniels Midland Company, Südzucker, Wilmar International, Poet Llc, among others.
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