Bioethanol demand to surge, pushed by auto, beverage and its usage as substance solvent
Based on the estimates of Markets and Markets research, the bioethanol industry will be a $68.95 billion market, with the expansion of its uses across various sectors including transportation, pharmaceuticals, cosmetics, alcoholic beverages, and others.
The starch-based feedstock is forecast to account for the type most used to produce bioethanol amid the expanding demand in the Asia Pacific and South America. Starch-based sources include corn, wheat, and barley, among other types of starch, as raw materials. The report noted that the United States, on the back of its piling regulations on bioethanol, is seen to remain the top consumer of the commodity.
Meanwhile, a 2017 study of Transparency Market Research (TMR) projects higher growth for the ethanol market, pegging it at $105 billion by the end of 2022 at 7.9 percent annual growth from 2017. Last year, the ethanol industry was valued at $71.8 billion.
Both reports cited the beverage and transport sectors as main drivers of the demand. Demand saddled in the alcoholic beverages sector could be attributed to the heightened purchasing powers of consumers, eventually elevating their preference to premium quality beers. On transport, bioethanol demand grows more than ever as several nations require firms to go green along with their struggles to reduce its carbon footprint. Known for its environment-friendly performance, bioethanol is then perceived a key to suppressing greenhouse gas emissions from further elevating to alarming levels.
Putting aside these critical factors that are driving demand, ethanol is starting to draw attention to its role as a solvent for several substances used in explosives, lacquers, paints, and perfumes.
The cannabis industry is projected to reach $31.4 billion by 2021, according to a Forbes report that cited a study by the cannabis market research company Brightfield Group. The sector’s 2017 value is estimated to have surpassed the $10 billion-mark as investors see easing laws on its restricted use to pave the way for its maximum growth. This translates to a 33 percent year-on-year increase in retail sales, showing the market to grow at a faster pace than expected.
In general, the cannabis industry projects over 90 percent of cannabis products can be used after extraction, a method which makes use of ethanol as solvent especially in the medicinal fields.
Greenbelt Resources said it has started discussions and tests with several cannabis firms such as NCM Biotech and Puration to supply its solvent requirement. Should these talks materialize into a deal, the firm said it will be positioned to expand its production capacity with an initial focus on California and upstate New York.
Operating in Paso Robles, California, Greenbelt Resources has developed a waste-to-energy technology which has been the subject of a USDA-paid study by the Andrew J Young Foundation (AYF). The technology, promoted on a community scale, is designed to produce bioproducts from local waste, including protein concentrate (a potential fish meal replacement), bioethanol, fertilizer and distilled water.
Author: Arturo Garcia