Advanced Biofuels Market Size

Advanced Biofuels Market size was valued at USD 86.52 billion in 2024 and is expected to reach USD 3.38 trillion by 2037, registering around 32.6% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of advanced biofuels is assessed at USD 109.08 billion. The rapid increase in energy utilization across the world is fueling the market growth over the projected timeframe. According to a recent report, global energy consumption growth was comparatively reduced in 2022 (+2.1%) but it remained higher than its average growth rate from 2010 to 2019 (+1.4%/year).

Biofuels are mainly produced from biological sources which include vegetable oil, and crop residues such as wheat, barley, and whey. The raw material used for production is easily accessible in local areas at affordable rates. Beside this, animal fat acts as raw material for biodiesel production as the cost is comparatively lower than vegetable oils. Easy and economical availability of raw materials for biofuel production is driving the market growth.