Global Bioethanol Market to Grow at 8.3% During 2022-2027, Propelled by Rising Environmental Concerns

October 12, 2021

As per the latest report by IMARC Group, titled “Bioethanol Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027,” the global bioethanol market is expected to grow at a CAGR of 8.3% during 2022-2027. Bioethanol refers to a clear, colorless liquid fuel produced from the biomass through the hydrolysis and sugar fermentation processes. It can also be manufactured using the chemical process of reacting ethylene with steam. Bioethanol is biodegradable, environment-friendly and less toxic than fossil fuels. It can be blended with petrol without requiring any engine modifications. As a result, bioethanol is gaining traction over conventional fuels to reduce air pollution and greenhouse gas (GHG) emissions.

We are regularly tracking the direct effect of COVID-19 on the market, along with the indirect influence of associated industries. These observations will be integrated into the report.

Global Bioethanol Market Trends:

The escalating demand for eco-friendly alternatives to fossil fuels on account of the rising environmental concerns represents the primary factor driving the market. Additionally, the increasing sales of passenger vehicles due to elevating incomes and the suburbanization trend are catalyzing the market growth. Furthermore, the implementation of stringent regulations by governments of various nations to encourage the adoption of bioethanol to minimize air pollution is another major growth-inducing factor. Apart from this, the ongoing research and development (R&D) activities to produce bioethanol from municipal solid waste are also creating a positive market outlook. In addition, several applications of bioethanol in diverse industries are bolstering the market growth. For instance, bioethanol is widely used as a carrier and solvent in cosmetics and personal care products as it is skin-friendly and safe for health and the environment. Besides this, it is utilized in the pharmaceutical sector as a crucial ingredient for manufacturing cough syrups, drugs, disinfectants and medicinal capsules. Moreover, the growing popularity of bioethanol as a flavor enhancer in the food and beverage (F&B) industry has augmented the product demand. These factors are expected to provide a positive thrust to the market in the coming years.

Market Summary:

  • Based on the type, the market has been classified into sugarcane-based, cellulosic, starch-based and other ethanol types.
  • On the basis of the fuel blend, the market has been divided into E10, E20 and E25, E70 and E75, E85, and others.
  • Based on the generation, the market has been segregated into first, second and third generations. 
  • On the basis of the end use industry, the market has been categorized into automotive and transportation, power generation, pharmaceutical, food and beverage, cosmetics and personal care, and others.
  • Region-wise, the market has been segmented into North America (the United States and Canada), Asia-Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others), Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others), Latin America (Brazil, Mexico, and others), and Middle East and Africa.
  • The competitive landscape of the market has also been analyzed, with some of the key players being Abengoa S.A., Archer-Daniels-Midland Company, BP plc, Cristalco (Cristal Union), CropEnergies AG (Südzucker AG), Flint Hills Resources, LLC (Koch Industries, Inc.), Green Plains Inc., Honeywell International Inc., INEOS Capital Limited, PetróleoBrasileiro S.A., POET, LLC., Royal Dutch Shell plc, and Valero Energy Corporation.


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Global Bioethanol Market to Grow at 8.3% During 2022-2027, Propelled by Rising Environmental Concerns
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