As the bioeconomy evolves, so must the way we think about biomass utilization. What if the key to unlocking new revenue, reducing waste and meeting sustainability goals could be part of your existing operation? Biochar has entered the spotlight in the biomass industry as a material and technology that can increase the value of residuals and help revitalize American manufacturing.While biochar was once considered a niche product with limited market infrastructure, that perception is shifting. With increasing market interest and a growing push for carbon-smart, circular solutions, biochar is proving to be a high-value output.Biochar is essentially charcoal, but instead of using it to heat your grill, it’s used as a versatile input across industries: as a concrete additive, a component in horticultural substrates, and a soil amendment that stores carbon for thousands of years.&nbsp;Biochar production entails heating biomass in oxygen-limited environments where full combustion cannot occur, typically in gasification or pyrolysis systems. Most biochar production systems also produce excess heat, which can be used to meet on-site heat demand or to produce electricity. Nearly any biomass will do, so most biochar producers focus on timber and agricultural processing residuals or other waste streams, presenting an opportunity to add value to these materials.&nbsp;Although biochar is gaining fresh attention today, its origins go back in history. Indigenous groups around the world used it to improve the productivity of soils. In more recent history, many biomass energy producers and timber boilers have been making biochar for decades but either reburning the material as “reinjection ash” or landfilling it as “high-carbon fly-ash.”&nbsp;This presents a new economic opportunity, largely driven by demand for biochar carbon removal credits by major corporations like Microsoft, Google and others. Payments for these credits cover much of the cost of producing biochar, rendering the physical biochar a low-cost input material in industrial, agricultural and infrastructure value chains. Increasing the use of biochar in these sectors is key to unlocking a thriving industry—one that adds value to agricultural and forestry residuals. The United States Biochar Initiative is also focused on building biochar into these markets to support a growing and thriving biochar sector. &nbsp;Building with Biochar: Carbon-Sinking Concrete&nbsp; One of the most headline-grabbing developments over the past year has been the use of biochar in concrete, which represents a major opportunity for the biochar industry, due to the size of the potential market demand. Biochar adds value in multiple ways; it sequesters carbon in low-carbon concrete blends, improves the performance and curing of lightweight concrete blends, and serves as a substitute for coal fly-ash, a common ingredient in concrete that is becoming scarcer with the decline in coal power generation.&nbsp;Just in the past few months, Holcim, one of the largest concrete companies in the world, announced that it was using biochar in product lines, including a showcase at the Venice Architecture Biennial. According to Holcim, every ton of biochar used in concrete sequesters three tons of CO2, helping them to achieve ambitious decarbonization goals.&nbsp;While the use of biochar among major industry players like Holcim reflects the potential scale of this market, many other efforts are underway to achieve that. This includes the development of a formal American Society for Testing and Materials standard for biochar in concrete that would underpin the growth in this market.Greener Gardens and Plants: Biochar in Potting Media&nbsp; Biochar is also an increasingly popular material in the home and garden sector as a component of potting media and horticultural substrate. Potting media is commonly composed of a combination of materials like perlite, peat and coconut coir, all of which are excellent for growing plants. However, they are also expensive, carbon-intensive, primarily imported and subject to supply chain disruptions—and, very likely, tariffs. Major players in this sector have been looking for lower-cost, domestically produced, sustainable alternatives including biochar, which can be effective to replace perlite and a portion of peat in high-quality media. With increased biochar production, supported by carbon markets, biochar can also be a lower-cost alternative.&nbsp;Just in the past year, SunGro, a leading producer of professional grower mixes and consumer brands, launched Black Bear media, which utilizes biochar in place of perlite. This hints at the potential for a large increase in demand for biochar. At the same time, smaller companies are getting in the game too, including Rosy Soil, a startup potting media company that makes carbon-neutral potting media based on biochar. Rosy Soil has seen impressive growth over the past year, garnering major purchase agreements with big box retailers including Target.Biochar in Soil: The Foundation for Regenerative Agriculture&nbsp;&nbsp; Using biochar as a soil amendment has been the key market for the biochar industry since its inception, and for good reason: it increases water and nutrient holding, improves soil health, increases yields in many crops, and much more. While effective, historically, most farmers have not been able to make the dollars and cents add up, but as biochar prices have come down and its benefits are becoming clearer, the story is changing. Further, as interest in regenerative agriculture has grown, biochar is getting a second look. Unlike other regenerative practices that increase soil carbon, the carbon in biochar is permanent, providing a long-term foundation that supports the effectiveness of other regenerative practices like cover cropping and compost amendment.&nbsp;Key to the growth of this market has been the availability of federal cost-share payments to farmers through USDA programs, making it possible for farmers across the country to experiment with biochar and develop the most cost-effective ways to use it. In the Southeast United States, Ashwood Biochar, a major biochar producer, has been leading the way in helping farmers access these programs and deploy biochar on thousands of acres.&nbsp;In certain high-value cropping systems in the western U.S., like vineyards in California and apples in Washington state, farmers are finding that biochar addition prior to planting increases growth rates and yields without sacrificing product quality, leading to increased farm revenues without any federal cost share incentives. In California, Monterey Pacific, a major vineyard manager, now uses biochar when planting most of its vineyards.Writing the Next Chapter&nbsp; As demand grows across these sectors, the need for clear, science-based specifications has become critical. The U.S. Biochar Initiative is currently leading the development of an American National Standard (ANSI) for laboratory testing, with target completion of fall 2025. The anticipated next phase is establishing quality and end-use ANSI standards to support market growth and product consistency.Biochar is emerging as a well-established industry. Producers and manufacturers are fueling rural economic development and supporting manufacturing jobs. This growth is attracting increasing attention from major agricultural and industrial corporations, policymakers, feedstock suppliers and more.&nbsp;For biomass producers and industry stakeholders, the message is clear: Biochar is not just a byproduct—it’s a business opportunity. As demand accelerates, now is the time to engage, innovate and help write the next chapter of this rapidly growing industry. Author: Myles Gray&nbsp; Executive Director, U.S. Biochar Initiative&nbsp; Biochar-us.org

2025-07-08 - More Than a Byproduct: a New Chapter for Biochar (Biomass Magazine)

small_BMM3-BiocharCont2.jpg

thumbnail_BMM3-BiocharCont2.jpg

BMM3-BiocharCont2.jpg

Once a niche product, biochar has become a business opportunity.

More Than a Byproduct: a New Chapter for Biochar

Related Stories

FLS Group and Cula partner to close biochar sampling loophole

Taurus Canada RNG awarded $10 million integrated RNG, carbon sequestration project

CETY to present HTAP pyrolysis platform for renewable gas, power and biochar at International Biomass Conference & Expo in Nashville

Carbogenics closes on $3 million investment

Keynote, General Session Speakers Announced for 2026 International Biomass Conference & Expo

Upcoming Events

2026 International Biomass Conference & Expo

More Than a Byproduct: a New Chapter for Biochar.css-7jxktu{position:absolute;bottom:0px;left:0px;right:0px;height:3px;border-radius:3px;background-color:var(--chakra-colors-brandBlack);}