Bioethanol Market Statistics 2025-2034

The global bioethanol market size was estimated at USD 86.5 billion in 2024 and is projected to be worth around USD 124.16 billion by 2034, growing at a CAGR of 3.68% from 2025 to 2034.

Highlights of the Bioethanol Market

• By application insight, the transport segment held a dominant presence in the market in 2024 and is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034.
• By feedstock, the starch based segment accounted for a considerable share of the market in 2024.
• By feedstock, the cellulose-based segment is projected to experience the highest growth rate in the market between 2025 and 2034.
• By fuel generation, the first generation segment led the market.
• By fuel generation, the second generation segment is set to experience the fastest rate of market growth from 2025 to 2034.
• By blend insight, the E-10 segment accounted for a considerable share of the market in 2024.
• By blend insight, the E15 to E70 segment is projected to experience the highest growth rate in the market between 2025 and 2034.

Industry Valuation and Growth Rate Projection

The global bioethanol industry involves the production, distribution, and application of bioethanol from renewable biomass and generation systems. It is biodegradable, produced from the fermentation of sugars existing in agricultural feedstock could be as sugarcane, corn, and crop residues. Hence, bioethanol serves as a clean-burning alternative to gasoline; it has a high octane rating and low greenhouse gas emissions. This market is a step toward searching for alternative sources of energy and is also an engine for reducing dependence on fossil fuels. Bioethanol also finds uses in power generation and industrial processes besides transportation purposes and demand. With the advancement of the processes associated with employing algae and waste biomass for bioethanol conversion, more yields can be achieved at a lower cost.

Bioethanol Market: Stats and Figures

• In 2024, the U.S. Exports 16214 Thousand Barrels of fuel ethanol to Canada.
• The United States is the world's largest producer of ethanol, having produced over 15 billion gallons in 2021 and 2022. Together, the United States and Brazil produce 80% of the world's ethanol.

How AI Has Benefitted the Bioethanol Market?

• Optimize production efficiency via real-time monitoring and automation of processes.
• Maintenance and downtime prediction through sensor data analysis.
• Better feedstock and resource management, optimizing input cost, and sustainability.
• Inventory, demand forecasting, and transportation management are enhanced through supply chain planning.
• Provide quality and market analytics with data-driven insights.

Industry Leader Announcements

• South Bend Mayor James Mueller:

“We are excited about Verbio's expansion plans and their impact on our regional economy. As an industry leader in renewable natural gas production, Verbio will bring new life to the ethanol plant with cutting-edge green technology that will add to South Bend's clean energy portfolio.”

• François Dossa, president of Nissan Brazil:

“In the future, the e-Bio Fuel Cell will become even more eco-friendly, with the possibility of using ethanol mixed with water, easier and safer to handle than other fuels – all this without needing to create a new infrastructure.”

Geographical Insights

Which Region Is Dominating the Bioethanol Market?

North America

North America dominated the market due to stringent environmental safeguards and a strong push for greener fuels for transport. The region has been seeing a spurt in demand for bioethanol as an alternative fuel substitute for gasoline, and with production technologies becoming better and better, the automotive sector has also been witnessing very good growth. Both the US and Canada have regulations for the implementation of bioethanol blends into vehicle fuels, hence granting impetus to demand within the region.

The decarbonization of transport in Canada has further augmented the consumption of biofuels. Technological advancements, including fermentation methods and genetically optimizing feedstock crops, have contributed to increasing efficiency in energy use and subsequently reducing the costs of production. The domestic bioethanol industries, especially second-generation ethanol from agricultural and forestry residues, are also being given precedence. The bioethanol market in Europe, on the other hand, continues its expansion on account of renewable fuels and concerns related to fossil fuel emissions.

What Are the Recent Developments in the Bioethanol Market?

• In February 2025, Nippon Paper, Sumitomo Corporation, and Green Earth Institute agreed to establish a joint venture, Morisora Bio Refinery LLC, focusing on bioethanol and biochemicals from woody biomass.
• In November 2024, India's Union Minister for Road Transport and Highways, Nitin Gadkari, announced that major automobile manufacturers will launch vehicles powered by 100% bioethanol within six months, aiming to boost the agricultural economy and reduce carbon emissions.

Competitive Landscape

The market is moderately fragmented with local players like Archer Daniels Midland, Valero Energy Corporation, Tereos, Raizen, POET LLC, Flint Hills Resources, The Andersons Inc., Pacific Ethanol, Green Plains, Sekab Biofuels & Chemicals AB, etc. wishing to take the time to edge their presence through investments, partnerships, acquisitions, and mergers. They also invest in product development and competitive pricing. These strategies will promote market growth and lucrative opportunities for market players

• Company Name: Raizen
• Year of Incorporation: 2011
• Headquarters: São Paulo, Brazil

Raizen's annual revenue for the year ending March 31, 2024, was BRL 220,454.24 million, a decrease from the previous year's BRL 245,831.79 million.

• Company Name: Green Plains
• Year of Incorporation: 2004
• Headquarters: Omaha, Nebraska.

Green Plains Inc. reported a trailing 12-month revenue of $2.46 billion as of March 31, 2025. This figure represents a decrease compared to the prior year.

• Company Name: The Andersons, Inc
• Year of Incorporation: 1947
• Headquarters: Maumee, Ohio

The Andersons, Inc. (ANDE) is a diversified company primarily operating in agriculture. In 2024, their revenue was $11.26 billion.