Export Restrictions on Wood Briquettes Amid Global Energy Disruptions

In a move aimed at strengthening domestic energy security , the Centre has imposed immediate export curbs on wood briquettes, citing rising concerns over fuel availability triggered by the ongoing West Asia crisis . The decision reflects a broader strategy to prioritise local consumption of alternative fuels as global supply chains face disruptions.

The notification issued by the Directorate General of Foreign Trade (DGFT) places wood briquettes under the “restricted” category, meaning exporters will now require government authorisation to ship the product overseas. Earlier, exports were allowed freely without licensing requirements.

Officials indicated that the primary reason behind the restriction is the disruption in oil and gas supplies due to tensions in West Asia, particularly affecting shipments passing through the Strait of Hormuz. With fears of shortages in LPG and conventional fuels, demand for biomass-based alternatives such as wood briquettes has surged sharply within the country. The government aims to ensure adequate domestic availability and prevent price spikes.

Wood briquettes are considered a clean and eco-friendly fuel made from compressed biomass like sawdust and agricultural waste. They are widely used in household cooking as a substitute for firewood and LPG, in industrial boilers and furnaces, in hotels and restaurants for heating and cooking, and in power generation and biomass-based energy plants. Their rising popularity, especially during fuel shortages, has made them a crucial part of India’s alternative energy mix.

India has been exporting wood briquettes and related biomass products to several countries, particularly in Asia and Europe, where demand for renewable fuel has been growing. While exact recent figures vary, industry estimates suggest that biomass fuel exports, including briquettes and pellets, have been valued at around ₹2,000 crore annually , with steady growth in recent years. However, under the revised policy, exports will now be permitted only through restricted authorisation. In contrast, the government has eased curbs on sawdust and wood waste products by moving them from “prohibited” to “restricted”, allowing controlled exports of raw or semi-processed materials.

The curbs are part of a series of measures taken by the government to manage the emerging energy situation. In recent weeks, authorities have reintroduced kerosene for households and allowed the use of coal and biomass fuels in the hospitality sector on a temporary basis. The latest move underscores the government’s intent to balance export interests with domestic needs, ensuring that essential alternative fuels remain available within the country during a period of global uncertainty.