Latin America's Refuse-Derived Fuel (RDF) Market Projected to Hit $110.19 Million by 2034 at 3.1% CAGR

Analysis of Refuse-Derived Fuel (RDF) Industry Covering Countries Includes Analysis of Brazil, Mexico, Argentina, Chile, Peru, and Rest of Latin America

MD, UNITED STATES, February 12, 2025 /EINPresswire.com/ -- The refuse-derived fuel (RDF) market in Latin America is experiencing notable growth, driven by increasing interest in sustainable waste management practices and the pursuit of alternative energy sources. Sales of refuse-derived fuel (RDF) in Latin America are calculated at US$ 81.2 million for 2024 and are projected to increase at a CAGR of 3.1% to reach US$ 110.19 million by 2034-end.

RDF is produced by processing various types of solid waste, particularly the organic components of municipal solid waste (MSW) and other non-recyclable materials. The production process involves separating and processing combustible materials from the waste stream, resulting in a fuel source that can be utilized in industrial boilers, power plants, and cement kilns. This approach not only provides an alternative energy source but also contributes to waste reduction and resource recovery by diverting materials from landfills.

In Latin America, the use of RDF in cement kilns is a significant application, driven by environmental concerns, waste management challenges, and the desire to find alternative energy sources. Cement production requires high temperatures for clinker production, and RDF serves as a supplementary fuel, reducing reliance on traditional fossil fuels such as coal or natural gas. This substitution not only enhances energy efficiency but also offers economic benefits to cement manufacturers, depending on the local availability and cost of RDF compared to conventional fuels.

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Governments and industries in Latin America are increasingly recognizing the importance of adopting sustainable waste management practices to address environmental concerns and promote long-term ecological stability. This growing awareness stems from the environmental impact associated with traditional waste disposal methods, such as landfills, and the need to transition towards more sustainable alternatives. As urbanization and industrialization continue to shape the landscape of many Latin American countries, the volume of municipal solid waste generated increases, necessitating a shift in waste management strategies.

RDF represents a form of energy recovery from waste, wherein non-recyclable components of municipal and industrial waste are processed to extract combustible materials. These materials, including organic waste, plastics, and paper, are then transformed into a fuel source that can be used in various industrial applications. The adoption of RDF not only addresses waste management challenges but also contributes to the reduction of greenhouse gas emissions by providing an alternative to fossil fuels.

Competitive Landscape

The competitive landscape of the RDF market in Latin America features key players such as SUEZ Recycling and Recovery, Veolia, and Renewi. These companies are actively involved in developing effective production methods and processes to meet the rising demand from various end-use industries. Their efforts are focused on enhancing the efficiency of RDF production and expanding its applications across different sectors.

Market Dynamics

In terms of market dynamics, the RDF market in Latin America is influenced by several factors, including government policies promoting sustainable waste management, technological advancements in RDF production, and the economic benefits associated with the use of RDF as an alternative fuel. Additionally, the increasing awareness of environmental issues and the need for sustainable energy solutions are driving the demand for RDF in the region.

Market Outlook

The market outlook for RDF in Latin America is positive, with steady growth anticipated over the next decade. The projected increase in RDF sales from US$81.2 million in 2024 to US$110.19 million by 2034 underscores the growing acceptance of RDF as a viable alternative fuel source in the region. This growth is expected to be supported by ongoing investments in waste management infrastructure and the implementation of policies aimed at promoting the use of alternative fuels.

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Key Companies Profiled-

SUEZ Recycling and Recovery; Veolia; Renewi

Segmentation of Refuse-Derived Fuel Study in Latin America

By Fuel Type:

High Grade (>10 Mj/kg)
Low Grade (<10 Mj/kg)
By Application:

Cement Kilns
Co-Combustion
Gasification
CHP
Others
By Feedstock:

Municipal Solid Waste
Industrial Waste
Commercial Waste
Construction and Demolition Waste
By Production Technology:

Mechanical Biological Treatment
Pyrolysis and Gasification
By Country:

Brazil
Mexico
Argentina
Chile
Peru
Rest of Latin America

Explore More Related Studies Published by Fact.MR Research:

As per the latest research analysis published by Fact.MR, sales of refuse-derived fuel (RDF) in East Asia are estimated at US$ 339.3 million in 2024. The East Asian market is projected to expand at a CAGR of 4.7% and reach a valuation of US$ 537 million by the end of 2034.

Revenue from the sales of refuse-derived fuel (RDF) in Europe is estimated to reach US$ 1.32 billion in 2024, according to a newly published study by Fact.MR. The European market is forecasted to expand at 4.2% CAGR and reach a value of US$ 2 billion by the end of 2034.

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