Bio jet fuels are frequently produced from sustainable feedstocks like camelina, algae and agricultural residues using hydrotreatment technology which allows blending at high ratios with conventional jet fuel. The use of renewable fuels in aviation can significantly reduce greenhouse gas emissions over the lifecycle compared to conventional fossil fuels.

The global renewable or bio jet fuel market is estimated to be valued at US$ 299.4 Mn in 2024 and is expected to exhibit a CAGR of 3.4% over the forecast period 2024 to 2031.

Key Takeaways
Key players operating in the renewable or bio jet fuel market are Abbott Laboratories, Aurobindo Pharma USA, Boehringer Ingelheim International GmbH, Cipla Limited, Hikma Pharmaceuticals plc, Jubilant Cadista Pharmaceutical, Sanofi S.A., Solco Healthcare (Prinston Pharmaceutical Inc.) and Torrent Pharmaceuticals Ltd. Renewable jet fuel provides an opportunity for aviation sector to reduce its carbon footprint and dependence on petroleum while leveraging existing airport fuel infrastructure. Global expansion in production and infrastructure will be crucial for increasing bio jet fuel adoption across international markets.

Market Drivers and Restraints
Stringent emission regulations by international agencies are driving the demand for sustainable aviation fuels. Renewable Or Bio Jet Fuel Market Demand Growing emphasis on reducing carbon footprint of air travel and initiatives by airline companies to use alternative fuel blends are helping bio jet fuel gain traction. However, high production costs compared to conventional jet fuel and limited supply infrastructure are major challenges restraining widespread commercialization of renewable jet fuels. Lack of common fuel quality standards also hamper large scale blending of bio components in jet fuel.

Segment Analysis

This market can be segmented on the basis of production type into bio-mass feedstock based biojet fuel and waste based biojet fuel. The bio-mass feedstock based biojet fuel segment currently dominates the market due to abundance and reliability of biomass sources such as plant oils and vegetable greases. Further, production from biomass feedstock helps generate alternative revenue streams for farmers and plantation owners, thereby receiving support from agriculture sector.

Global Analysis

North America is currently the fastest growing and dominating regional market for renewable or biojet fuel. Stringent environmental policies regarding aviation emissions and presence of key players in the region are major factors contributing to the growth of the North American market. However, Asia Pacific region is projected to witness strongest growth during the forecast period supported by substantial investments towards development of sustainable aviation fuels by various governments in the region. In addition, growing airline traffic in countries like China and India is anticipated to spur the demand for low-carbon emitting biojet fuels in Asia Pacific.
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