Biochar is evolving into a dual-market opportunity: a credible carbon removal instrument and a growing physical commodity for construction, agriculture, materials and environmental applications. As international standards mature and regulators step in, demand is accelerating, and India is emerging as one of the most strategically positioned markets globally. 

Worldwide, corporate buyers are seeking permanent, verifiable carbon removals. Biochar fits the brief with millennia-scale stability and strong co-benefits for soils, which is one of the reasons why it is preferred over other direct removals. Voluntary standards such as the International Biochar Initiative (IBI), the European Biochar Certificate (EBC) and the C-Sink standard have become essential for credible carbon accounting by strengthening MRV and improving consistency across projects. These are standards, but not regulations per se. Regulators are seen aligning as well. The EU Carbon Removal Certification Framework (CRCF) identifies biochar as a carbon removal pathway under consideration. This marks a transition from the ambiguity of the 2010s toward formal recognition, which may unlock compliance-adjacent opportunities over time.

The demand for biochar as a commodity is expanding in several industries including construction, agriculture, water treatment & industry materials. India is uniquely placed to benefit from the global surge in biochar adoption, thanks to the emerging sustainable architecture market, agrarian reserves, soil needs and more. So, biochar is shifting from a niche climate tool to a scalable industrial sector. As India links agricultural policy, waste management goals and emerging carbon markets, the country could become both a major producer and a major consumer of biochar.

The India Perspective

An anticipatory legal framework for biochar in India can be foreseen to take shape as policymakers recognise its dual value. Although India has not issued a single consolidated biochar regulation yet, several regulatory tracks are converging toward clearer governance. Under the Solid Waste Management Rules (2016) and Air (Prevention and Control of Pollution) Act (1981), decentralised pyrolysis systems that convert agricultural biomass into biochar are already permissible, provided they meet emission-control and waste-handling requirements. Biochar applied to soils is indirectly governed through the Fertilizer Control Order (FCO), which sets quality standards for soil amendments; discussions are also underway in policy circles and expert committees about formally listing biochar as a recognized soil input, which would create a quality and certification pathway. In parallel, India’s upcoming Carbon Credit Trading Scheme (CCTS), notified under the Energy Conservation Act, provides the structural basis for recognising durable carbon removals. While the first phase focuses on energy efficiency, the scheme’s architecture allows for future inclusion of removal methodologies, and durable pathways. 

Globally, initiatives such as the EU Carbon Removal Certification Framework (CRCF) and ISO’s emerging work on biochar quality and carbon-accounting standards are setting early precedents for how jurisdictions may classify biochar, verify carbon permanence and regulate cross-border trade of removal credits. Transnational regulations will follow.

Taken together, these developments suggest that biochar is moving toward regulatory maturity both globally and in India. The convergence of voluntary standards, evolving international law and India’s own sectoral regulations signals the emergence of a more predictable operating environment for producers, buyers and investors.

An optimistic time for buyers, manufacturers,exporters and policy makers in the field of biochar we say!

Sources:
IBI https://biochar-international.org
EBC https://www.european-biochar.org
C-Sink https://c-sink.org
EU CRCF https://climate.ec.europa.eu