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Demand for Biochar in U.S. to Receive Boost Owing to Growing Awareness Regarding Diverse Advantages, predicts TMR

Energy and Natural Resources |

The U.S. biochar market is extremely fragmented in nature with no clear market leader, states a new intelligence study by Transparency Market Research (TMR). Leading players, such as Agri-tech Producers, LLC, Cool Planet Energy Systems, Inc., Biochar Supreme, LLC, The Biochar Company, and Full Circle Biochar are taking initiatives to create awareness regarding biochar through conferences and education forums. As a result, the U.S. biochar market at present is seeing strong competition at both large and small scale. The high return on investments offered by the biochar market is encouraging intense competition in the market. 

As per the research study, the U.S. market opportunity in biochar is estimated to rise from 3,362.14 tons in 2015 to 10,000.0 tons by the end of 2020, in terms of volume. On the basis of application, the gardening segment is projected to retain its leading position in the U.S. biochar market and account for a 53.9% share in the overall market by the end of 2020. Gardening requires small quantities of biochar, which makes it relatively affordable for consumers. Easy availability of biochar combinations in diverse composition and sizes allows the gardeners to choose the desired mix suitable for their needs – a factor that will help keep sales volume growing steadily.

Growing Need for Enhanced Crop Productivity to Propel U.S. Biochar Market

The growing need for carbon sequestration is one of the primary factors encouraging the growth of the biochar market in the U.S. Biochar helps in reducing carbon emissions and the presence of carbon from the atmosphere, thus providing environmental benefits, studies suggest. The biological, physical, and chemical properties of biochar offer improved soil fertility. "It assures food security and crop productivity, which is expected to boost the demand for biochar in the coming years,” states a TMR analyst. 

Furthermore, the technological developments and the fast pace of urbanization in the U.S. have resulted in large volumes of waste. The use of this waste for biochar production could help in reducing problems associated with waste management and cut down on the manufacturing cost of biochar. These factors are projected to encourage the growth of the U.S. biochar market in the coming years.

Financial Constraints to Dampen Growth of U.S. Biochar Market

Biochar is considered as an equivalent to charcoal by a large number of consumers and thus it is associated with charcoal-related risks. The lack of consumer awareness regarding the advantages of biochar is the key aspect dampening the growth of the U.S. biochar market. Furthermore, the technological uncertainties and financial constraints are projected to restrict the growth of the U.S. biochar market in the next few years, says a TMR analyst. Raising finance for biochar operations and production from public and private organizations is one of the primary challenges faced by the biochar market.

Nevertheless, the growing popularity and demand for biochar are expected to encourage banks, venture capital investors, and start-ups to make investments, thus augmenting the growth of the overall market in the near future.

Introduction of Carbon Credits for Biochar Use to Create Potential Opportunities

As the biochar market in the U.S. is still developing, a large number of research and development activities are being conducted currently to introduce effective and innovative biochar production in this region. This is estimated to generate potential growth opportunities in the coming years. Moreover, the possibility of introducing carbon credits for using biochar and a promising application of biochar as biofuel are projected to accelerate the growth of the biochar market in the U.S.

This information is based on the findings of a research report published by Transparency Market Research, titled “Biochar Market - U.S. Industry Analysis, Size, Share, Growth, Trends and Forecast 2014 - 2020.”

The U.S. biochar market has been segmented as below:


  • Gardening
  • Agriculture (Large Farms)
  • Household

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