
Udeesha Tomar
AVP - Strategy and Solutions
Leading procurement research solutions across chemicals, materials, and food & beverages, with expertise in price forecasting and market analytics.
Bio-Isobutanol is an organically sourced chemical that is an environmentally friendly alternative to petroleum-based isobutanol. Manufacturing bio-isobutanol requires enzymatic fermentation of sugar sources like corn and cane sugar. Thus, the market trends are in close alliance with the market of its feedstock materials corn and sugar cane.
The second half of the year 2023 was largely muted for the bio-isobutanol markets. The Asian market stumbled down in the latter half of said period after wavering in a very limited range during the third quarter. These developments came as the downstream industries struggled during the last few months as the supply chain issues unfolded. The Red Sea issues, along with the drought in the Panama Canal, affected worldwide trade. Overall, highly fluctuating market performance was witnessed in H2’23.
Analyst Insight
According to Procurement Resource, going forward, the Bio-Isobutanol market is expected to grow since the market demand projects an inclining curve, and the supply situation is likely to improve.
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Bio-Isobutanol prices closely mimic the price trend of its feedstocks, corn, and raw sugar. Bio-Isobutanol prices fluctuated toward the higher end of the curve during the first half of 2023. Initially, the corn prices inclined in the first quarter; however, the prices soon plunged as supplies from Russia and Ukraine arrived in the Asian markets. However, the diversion of supplies for food constricted the material available for biofuels, thereby contributing to higher price patterns.
The sugar prices continuously rose because of the unseasonal weather disruptions. Inventories were already running low due to lowered crop yield, given the heat waves (in Europe), pests, and drought-like conditions this year.
While unseasonal and uneven rainfall, this season further disrupted the crop cycles in India. Sugar prices were at their highest in 11 years in the middle of the 2nd quarter in India. Overall, the price trend for Bio-Isobutanol kept on an inclined trajectory.
Bio-Isobutanol has a sweet smell and is a clear, colourless liquid. It serves as a metabolite for Saccharomyces cerevisiae. It is an alkyl alcohol and a main alcohol. It comes from an isobutane hydride.
C4H10O
Used as feedstock to make transportation fuel, In extraction of drugs
2-Methyl-1-propanol, 2-Methylpropan-1-ol
Gevo Inc
CurrencyUS$ (Data can also be provided in local currency)
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In this process, biomass is converted into bio-isobutanol with the aid of microorganisms which undergo fermentation.

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