India's Biofuel Use Reached 11 Billion Litres In 2025, Heads For 16 Billion By 2030

India’s liquid biofuel consumption reached around 11 billion litres in 2025 and is projected to increase to 16 billion litres by 2030, according to the International Energy Agency. The agency also says India increased biofuel production sixfold between 2020 and 2025, while new sustainable aviation fuel blending targets for international flights begin at 1% in 2027 and rise to 5% by 2030.

Those figures place renewable transport fuels among the energy segments expanding beyond India’s power sector. In the International Energy Agency’s assessment in the India Renewable Energy Market Report 2026, liquid biofuels are part of a broader shift in which renewables are being used not only for electricity but also in transport and other fuel markets.

Liquid Biofuel Consumption Reached 11 Billion Litres In 2025

According to the International Energy Agency, India became the fourth-largest liquid biofuel market in 2025, with annual consumption at around 11 billion litres. The agency projects that India remains fourth globally in 2030, when liquid biofuel consumption is forecast to reach 16 billion litres.

The increase from 11 billion litres to 16 billion litres is the central volume change identified by the agency for the period to 2030. In the same set of figures, the International Energy Agency describes India as one of the world’s largest biofuels producers and says the country’s production increased sixfold since 2020.

The report places these fuel volumes alongside India’s broader renewable energy expansion, but for transport fuels the key measure is the rise in liquid biofuel use over the decade’s second half. The 2025 figure shows the level already reached in the market, while the 2030 figure shows the volume the International Energy Agency expects by the end of the forecast period.

Production Increased Sixfold Between 2020 And 2025

According to the International Energy Agency, strong policy support drove a sixfold increase in India’s biofuel production between 2020 and 2025. That production growth is the basis for the higher consumption levels recorded in 2025 and projected through 2030.

The agency presents the 2020-2025 period as a phase of rapid scale-up. By 2025, India had moved into the group of the world’s largest biofuel markets, and the International Energy Agency says that expansion continued to support higher use of domestically produced renewable transport fuels.

The figures in the agency’s overview show how quickly the market changed. In its introduction table, the International Energy Agency lists annual liquid biofuels consumption at 11 billion litres in 2025 and 16 billion litres in 2030, with India ranked fourth in both years. In its executive summary, the agency adds that production rose sixfold in the five years to 2025.

Taken together, those data points show two linked developments: rapid scaling of production capacity in the first half of the decade, followed by continued growth in consumption through 2030. The agency does not separate those 11 billion and 16 billion litres by individual biofuel type in the figures cited here, but it identifies the aggregate liquid biofuel market as the relevant measure for transport fuels.

Sustainable Aviation Fuel Targets Start At 1% In 2027

A new element in India’s renewable fuels pathway is sustainable aviation fuel. According to the International Energy Agency, blending targets for sustainable aviation fuel on international flights start at 1% in 2027 and rise to 5% by 2030.

Those targets introduce a defined schedule for aviation fuel blending within the period covered by the agency’s forecast. The starting point is 1% in 2027. The end point named by the agency is 5% in 2030.

The International Energy Agency says those targets are opening a new market. Within the renewable fuels context, that means part of future transport-fuel growth comes not only from established liquid biofuel use on the road-transport side, but also from the beginning of a dedicated aviation-fuel blending requirement for international flights.

Because the targets begin before the end of the decade, they overlap with the period in which total liquid biofuel consumption is projected to rise from the 2025 level of around 11 billion litres toward 16 billion litres in 2030. The agency presents both developments as part of the same expansion of renewable fuels beyond electricity generation.

Domestic Biofuels Reduced Oil Import Dependence By Around 4 Percentage Points

The International Energy Agency also links biofuel use to India’s transport fuel balance. According to the agency, domestic biofuels reduced crude oil import dependence by around 4 percentage points in 2025.

That figure gives a direct transport-sector effect for the 11 billion litres consumed in 2025. The agency describes domestic biofuels as part of India’s broader use of renewables to reduce exposure to imported fossil fuels, with transport identified separately from electricity and heat.

Within the transport sector, the agency’s numbers therefore show three connected points for 2025 to 2030: a market already using around 11 billion litres of liquid biofuels in 2025, production that had increased sixfold since 2020, and a forecast that consumption reaches 16 billion litres by 2030. Added to that is a new aviation fuel requirement that starts at 1% in 2027 and rises to 5% by 2030.

India Is Forecast To Remain The Fourth-Largest Liquid Biofuel Market In 2030

According to the International Energy Agency, India’s annual liquid biofuels consumption is expected to reach 16 billion litres in 2030, with the country remaining the world’s fourth-largest market by that measure. The agency uses that 2030 volume as its benchmark for the next stage of renewable transport fuel growth.

The sequence described by the International Energy Agency is clear: rapid production growth through 2025, liquid biofuel consumption at around 11 billion litres in 2025, sustainable aviation fuel blending beginning in 2027 at 1%, and total liquid biofuel consumption reaching 16 billion litres by 2030, with the aviation blend target rising to 5% that same year.

For renewable fuels beyond the power sector, those are the main quantitative markers the agency sets out for India through the end of the decade.