The statement adds that collaborations among airlines, manufacturers, and biofuel producers play a crucial role in scaling up SAF production
The global Sustainable Aviation Fuel (SAF) market size is projected to grow from USD 1.1 billion in 2023 to USD 16.8 billion by 2030 at a CAGR of 47.7 pc, according to a report by market research platform MarketsandMarkets.
According to the report, the sustainable aviation fuel (SAF) market is witnessing substantial growth driven by key factors. Growing awareness of climate change and the imperative to reduce carbon emissions in the aviation industry serve as primary catalysts, compelling airlines to embrace SAF as a cleaner alternative.
Market expansion is further propelled by regulatory initiatives and mandates from entities such as the International Civil Aviation Organisation (ICAO) and various governments. Increasing investments in research and development to improve SAF production efficiency is underway, says the statement.
The statement adds that collaborations among airlines, manufacturers, and biofuel producers play a crucial role in scaling up SAF production, fostering a more sustainable future for air travel.
The report says that the biofuel segment is poised to lead the sustainable aviation fuel market, driven by its eco-friendly nature, technological advancements, regulatory support and increased investments. Additionally, advancements in technology and feedstock innovations enhance the production efficiency of biofuels, making them more economically viable for widespread adoption by airlines.
According to the platform, the unmanned aerial vehicles (UAVs) segment is projected to experience a higher Compound Annual Growth Rate (CAGR) in the SAF market due to the increasing adoption of drones for various applications. As UAVs become more integral to sectors like agriculture, surveillance, and logistics, there is a growing emphasis on making these operations environmentally sustainable.
The report says that the Middle East is expected to achieve a higher CAGR in the SAF market. This is because of the region’s strategic focus on sustainable development, substantial investments in renewable energy and a growing commitment to reducing carbon emissions in the aviation sector. The conducive natural environment and governmental support positions the Middle East as a key player in the SAF market.
According to the report, SAF companies include major players Neste (Finland), World Energy (Ireland), Total Energies (France), LanzaTech (US), and Fulcrum BioEnergy (US), among others. These players have spread their business across various countries including North America, Europe, Asia Pacific, Middle East, Africa, and Latin America.
