Marshall Erickson
2-3-2025
Biochar production can be a viable business. Here we present 5 things to consider.
1. Use Drives Everything. No established use/sales network means you have no viable business. Biochar use is expanding, but it’s nascent and in a few specific, proven applications. Use development requires significant action including (1) education and promotion, (2) real-world pilot projects, and (3) pricing supporting large-scale use. It’s best to capture use/sales commitments prior to launching a biochar operation and have a use/sales development program in place.
2. Biochar production is tricky. Product quality and output varies depending on the type and condition of biomass used, and the production process. You want to produce and sell high-quality biochar as this increases how and where it can be used. Attention to detail is key. Little things make a big difference.
3. Biochar is local. A scalable, sustainable biochar operation localizes source, production, and use. This ensures operations and cost efficiency, price competitiveness, and the ability to scale. With a limited number of U.S. producers, biochar is expensive and not eco-friendly. Biochar production is expanding, and the local model will be the standard – (1) a stable source of biomass, (2) biochar production co-located with source, and (3) biochar use/sales within a 100-mile radius of production.
4. Right equipment for your situation. There are a relatively small number of biochar reactor choices. They differ in technology, type/condition of biomass input, production capacity, support needs, pricing, and customers. It pays to (1) know what you need, (2) get into the details of each option, and (3) speak to users. Is biochar your primary product or is it biofuels, heat, electricity, all of this? Some offer entry-level reactors that can scale.
5. Use Drives Everything. I state this again because it’s so important. Producers are failing because they built a facility without establishing a strong use/sales network. Line up sales commitments ensuring early traction. Create and execute a strong use/sale development program specific to your community and situation. Be careful with broad biochar-use information. It may not apply to your situation.
Communities need new waste-derived products, and biochar can be impactful. Take the leap, do it wisely, and it can be a viable business or public/private venture.