India and Japan have launched a joint initiative to expand biogas production, with plans to build 1,000 biogas plants and create a market for 2.5 million biogas-powered vehicles. The move was announced at the 16th India–Japan Annual Summit in July 2026.
Both countries rely heavily on imported natural gas. India imports 51% of its supply, while Japan imports over 90%. That shared exposure has pushed both nations toward low-emission gaseous fuels, including biogas.
Biogas, once purified above 97% methane, becomes biomethane, which can be injected into existing pipelines or compressed for vehicle fuel.
India has significant untapped biomass resources but has struggled to scale production. A 2018 government scheme aimed to build 5,000 compressed biogas plants by 2023. As of July 2026, only 217 have been commissioned.
Japan brings advanced purification technology to the partnership. In 2025, Asahi Kasei introduced a biogas purification system achieving over 99.5% recovery yield and 97% methane purity. Toyota, Suzuki, and Nissan launched a biomethane engine in 2024 that runs on agricultural waste.
The two countries already have a track record of collaboration. Suzuki and India’s National Dairy Development Board have built biogas plants in Gujarat since 2024.
Japanese capital is also flowing into the sector. Trading house Sojitz has invested in a venture planning 30 biomethane plants in India, with a project value above $400 million.
Experts note India will need to address feedstock collection, pipeline connectivity, and pricing transparency for the initiative to reach its full potential.
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- Source: https://worldbiomarketinsights.com/india-and-japan-launch-initiative-to-scale-biogas-production/
