Bio-Butanol Market Size Of USD 22.32 Billion By 2032

According to Custom Market Insights (CMI), The Global Bio-Butanol Market size was estimated at USD 15.83 billion in 2021 and is expected to reach USD 16.55 billion in 2022 and is expected to hit around USD 22.32 billion by 2030, poised to grow at a compound annual growth rate (CAGR) of 8.5% from 2022 to 2030.

Bio-butanol is also referred to as bio-based butanol fuel and is primarily formed by the fermentation process of sugar in organic and biomass feedstocks. In addition, ethanol and acetone is a by-product of biobutanol, and it carries more similar function to gasoline. Biobutanol has a higher density and molecular similarity to gas and acts as an alternative substitute for gasoline. It is extensively used in the automotive and transportation sector as conventional fuel. In addition, it finds various applications in various end-use industries, including construction, power generation, medical, automotive, and many others.

Browse the full “Bio-butanol Market Size, Trends and Insights By Raw Material (Cereal Crops, Sugarcane Bagasse, Waste Biomass, Others), By Application (Acrylates, Acetates, Glycol Ethers, Solvents, Plasticizers), By End User (Automotive, Textile, Paints & Coatings , Building and construction , Oil & Gas, Others), and By Region – Global Industry Overview, Statistical Data, Competitive Analysis, Share, Outlook, and Forecast 2022–2030” report at

Market Dynamics.


Wide range of applications in various end-use industries 

The demand for bio-butanol has witnessed significant growth during the forecast period owing to its diversified range of applications in various end-use industries such as oil & gas, transportation, consumer sector, automotive, and others. Furthermore, the ease of availability of raw materials and suitability of bio-butanol in various end-use industries has driven the market in the upcoming years.


High production cost

Bio-based butanol has a wide range of applications in various end-use industries. However, the refining cost of butanol is high; this may hamper the market. In addition, fluctuation in the prices of raw materials is likely to restrain the market during the forecast period.


Robust demand from the automotive industry

Increased logistics and transportation activity and a rise in well-established manufacturing units have enhanced the auto manufacturing industry. For instance, according to an article published by September 2022, the Indian auto components after market is expected to grow at 10.5 percent to touch $13 billion by 2019-20, compared to $8.4 billion in 2016-17. In addition, bio-based butanol is extensively used. These factors are responsible for increasing bio-butanol sales in several end-use sectors, thus creating lucrative opportunities for the market.


Toxic substances 

 Refining process of bio-based butanol release toxic substances which may hurt human health. These factors are expected to hamper the growth of biobutanol in the market.

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Report Highlights.

The segments cereal crops, sugarcane bagasse, waste biomass, and others are based on grade. The cereal crops segment dominated the market in 2021 and is expected to grow over the forecast period with a total market share of 52%. 

Cereal crops such as wheat, corn feedstock, sugar, and others are extensively used for bio-based butanol formulation, which ultimately enhances cereal production and helps expand the biobutanol production industry.

Based on Application, the segment includes acrylates, acetates, glycol ethers, solvents, and plasticizers. It is expected that the global acrylates application segment to hold a dominant position during 2022 -2031 and account for 45% of the total market share during the forecast period. 

Regional Snapshots

Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. 

Asia-Pacific is the dominant region in the bio-butanol market, with a total market share of 38% during the forecast period. 

The utilization of bio-butanol has increased in the sectors such as personal care, automotive, oil and gas sector, and others. China is the topmost producer of vehicles in the world, where butanol is widely used as an alternative source over conventional fuel and also used in internal combustion engines, which propels the market growth. In addition, countries such as Japan and Taiwan are constantly engaged in expanding their electrical & automation manufacturing output, which has enhanced bio-based butanol performance.

Key Players 

  • Abengoa
  • Celtic Renewables
  • Cathay Industrial Biotech
  • Eastman Chemical Company
  • Gevo Inc
  • Green Biologics
  • GranBio
  • Phytonix
  • Metabolic Explorer
  • Working Bugs LLC

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Custom Market Insights is a market research and advisory company delivering business insights and market research reports to large, small, and medium-scale enterprises. We assist clients with strategies and business policies and regularly work towards achieving sustainable growth in their respective domains. Custom Market Insights provides a one-stop solution for data collection to investment advice. The expert analysis of our company digs out essential factors that help to understand the significance and impact of market dynamics. The professional experts apply clients inside on the aspects such as strategies for future estimation fall, forecasting or opportunity to grow, and consumer survey.

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