
Biofuels Junction
Aggregator and manufacturer of solid biofuels from agricultural waste.
Date | Investors | Amount | Round |
---|---|---|---|
* | N/A | Growth Equity non VC | |
Total Funding | 000k |
Biofuels Junction Private Limited is a full-service provider in the solid biofuels value chain, converting agricultural and forestry waste into cost-effective and environmentally friendly fuel sources for industrial use. Founded in 2016 by Ashvin Patil and Chaitanya Korgaonkar, the Mumbai-based company aims to replace fossil fuels like coal and furnace oil with cleaner alternatives such as biomass briquettes and pellets.
The founders' backgrounds were complementary to the venture. Ashvin Patil, an engineer with an MBA who came from a farming family, spent 17 years as an equity markets analyst before co-founding the company. Chaitanya Korgaonkar has a background in government banking, strategy, and liaisoning. They identified a significant market opportunity in utilizing the vast amounts of agricultural residue in India, which was often burned or destroyed, to create a consistent and quality-controlled energy product for industries.
The company's business model encompasses the entire value chain, from procuring agricultural waste from a network of over 28,000 farmers to manufacturing and supplying biofuels. It operates its own manufacturing plants and also collaborates with a network of over 450 biofuel manufacturers to ensure a steady supply. The business generates revenue by supplying solid biofuels, such as briquettes and pellets, to over 120 corporate clients, including major companies like Hindustan Unilever, Reliance, Mondelez, ITC, and CEAT. Additionally, Biofuels Junction offers steam-based contracts, where it manages the entire boiler operation for clients, and provides consulting on supply chain and pricing optimization. An IT-enabled platform helps manage the scattered supply and demand, facilitating procurement and price discovery.
Since its inception, the company has shown significant growth, reporting a turnover of ₹83.7 Crore for the fiscal year ending March 31, 2024. It has raised a total of $2.03 million in funding over three seed rounds, with investors including Schneider Electric, Disruptors Capital, and Valud Software. The latest funding round in August 2023 valued the company at ₹140 Crore.
Keywords: solid biofuels, biomass briquettes, biomass pellets, agricultural waste, clean energy, waste to energy, fossil fuel alternatives, industrial boilers, supply chain management, steam contracts, rural economy, carbon emission reduction, renewable energy, cleantech, biomass aggregation, energy services, sustainable fuel, circular economy, waste valorization, green energy