Coal Briquettes Market Trends

Growth Drivers

• Growing Environment Degradation – On account of the increasing population, the market is expected to expand more in the upcoming years. Further, urbanization, intensification of agriculture, and others factors may contribute to environmental changes which in turn is encouraging the majority of the population to use sustainable energy methods and heavily invest in environmentally friendly power-generation technology. According to data, more than 5% percent of tropical forest species will go extinct every ten years at the current rate of destruction.

• Rising Demand for Alternate Fuel Resources – The growing energy problem and the deteriorating environment has resulted in the need for alternative energy fuels. In terms of alternative fuels used by alternative fuel cars, natural gas made for more than 50% of total consumption.

• Surging Demand in Metallurgy Industry – According to the most recent data, approximately 90% of all metal produced each year in the United States and across the world are made up of iron and steel.

• Growing Investments in Coal Briquettes by Several Asian and African Countries– On the account of growing demand for renewable energy many developing regions are heavily investing in coal briquettes. According to studies by 2030, it is anticipated that Asia may account for over 80% of the world's coal demand.

Challenges

• Challenges in Making Coal Briquettes - The difficulties associated with the production of coal briquettes is one of the major factors predicted to slow down the market growth. For instance, densification during the production of briquettes demands additional energy, which complicates the process.
• Exorbitant Initial Cost for Briquettes
• Lack of Infrastructure for the Production of Briquettes