The Report Fuel Ethanol Market
Analysis By Product (Starch-Based, Sugar-Based, Cellulosic), By Application
(Conventional Vehicles, Flexible Fuel Vehicles), By Region, And Segment Forecasts,
2018 - 2025
The global ethanol fuel market is expected
to reach USD 115.65 billion by 2025, growing at a CAGR of 6.7%, according to a
new report by Grand View Research, Inc. Asia Pacific is estimated to witness a
fast paced growth during the forecast period. China, India, and Philippines are
the key countries that are considered to positively impact the industry growth
in the future.
The government of India
is currently drawing efforts on enhancing the use of ethyl alcohol as an
automotive fuel. The National Policy on Biofuels was implemented in India in
2009, which stated that the oil manufacturing companies were required to
distribute petrol blended with a minimum of 5% ethyl alcohol. Furthermore, this
policy proposed a target of 20% increase in the blending rate by the end of
2017 in the country.
Growth of the automotive
industry in India is another vital factor that is expected to enhance the
consumption of the product over the years ahead. Government of India is
focusing on making automobile sector as one of the major drivers of the ‘Make
in India’ initiative. The manufacturing output of passenger vehicles is likely
to reach approximately 9.4 million units by the end of 2026, as stated by the
Auto Mission Plan (AMP) 2016-26.
Significant blending
mandates in Australia, China, and Philippines are considered to drive the
market demand during the forecast period. Australia currently has an E7 ethanol
blending mandate implemented in New South Wales. Furthermore, Australia focuses
on reaching a 10% biofuels mandate by the end of 2020. In China, nine provinces
have proposed a 10% ethanol blends that include Jilin, Henan, Heilongjiang,
Liaoning, and Anhui.
Access
Research Report of Ethanol Fuel Market@ www.grandviewresearch.com/industry-analysis/fuel-ethanol-market
Further key findings from the report suggest:
· In terms of volume, sugar-based segment is expected
to rise at a CAGR of 5.4% from 2017 to 2025. In terms of revenue, the product
demand is expected to reach USD 24.44 billion by the end of 2025.
· Technological advancement in the production
of ethyl alcohol from lignocellulosic raw materials is expected to propel the
industry growth during the forecast period
· In 2012, DuPont commenced the construction
of its cellulosic ethyl alcohol facility in Iowa, U.S., that utilizes corn
stover as a raw material source and has an anticipated annual manufacturing capacity
of 30 million gallons per year. The construction of this manufacturing plant is
anticipated to be completed by the end of 2017.
· India is likely to witness fast paced
growth in terms of product demand over the years ahead. In 2016, the Union
Minister of Road Transport & Highways and Shipping announced the Indian
Government is focusing on increasing the ethanol blend rate in petrol to 22.5%
in the future.
· Abundant availability of raw material
substitutes is estimated to lower the bargaining power of suppliers over the
years ahead. Barrier for new entrants is estimated to remain high over the
years ahead, as longer duration is required to achieve economies of scale.
· Companies are focusing on business growth
by implementing various growth strategies such as forward and backward
integration of business operations, acquisition, technology licensing, and
distribution agreements.
Grand View Research has
segmented the global fuel ethanol market on the basis of product, application,
and region:
Ethanol Fuel Product Outlook (Volume, Million Liters;
Revenue, USD Million, 2014 - 2025)
·
Starch-based
·
Sugar-based
·
Cellulosic
Ethanol Fuel Application Outlook (Volume, Million Liters;
Revenue, USD Million, 2014 - 2025)
·
Conventional Fuel Vehicles
·
Flexible Fuel Vehicles
·
Others
Ethanol Fuel Regional Outlook (Volume, Million Liters;
Revenue, USD Million, 2014 - 2025)
·
North America
·
Europe
·
Asia Pacific
·
Central & South America
·
Middle East & Africa
Grand
View Research, Inc. is a U.S. based market research and consulting company, registered
in the State of California and headquartered in San Francisco. The company
provides syndicated research reports, customized research reports, and
consulting services. To help clients make informed business decisions, we offer
market intelligence studies ensuring relevant and fact-based research across a
range of industries, from technology to chemicals, materials and healthcare.
