Praj Industries and Gevo have signed an exclusive Development & Commercialization Agreement to introduce Bio-Isobutanol (Bio-IBA) technology to the Indian market. This milestone builds on their decade-long partnership aimed at delivering sustainable, low-carbon fuel solutions across the country.

Under the agreement, Praj holds exclusive rights to commercialise Bio-IBA technology in India. The collaboration focuses on creating commercial opportunities for Bio-IBA. It primarily targets diesel blending applications to reduce carbon emissions in one of the world's most common transportation and industrial fuels.

Praj will lead the commercialization of Bio-IBA technology in India, with exclusive rights to deploy the technology in the country. The partnership will focus on developing commercial opportunities for Bio-IBA, with primary emphasis on diesel blending applications that have the potential to reduce the carbon intensity of one of the world's most widely used transportation and industrial fuels.

Building on a decade-long partnership, the new agreement between Praj Industries and Gevo aims to customize and advance Bio-IBA technology for the Indian market. By combining Gevo's proprietary technology with Praj’s extensive local expertise in engineering, scale-up, and sugar- and starch-based feedstocks, the collaboration will drive the commercial adoption of lower-carbon fuels across India.

Praj Industries is setting up India’s first commercial-scale Bio-IBA demonstration plant for a leading local oil marketer, supporting the nation's broader renewable energy goals. Utilizing licensed technology from Gevo, Praj is executing the entire project—from initial design and engineering to equipment supply and installation. This milestone facility will play a critical role in proving the production feasibility and supply chain logistics required to scale up the fuel market nationwide.

Bio-IBA presents a promising opportunity for reducing the carbon footprint of diesel across a wide range of applications, including transportation, agriculture, mining, construction and industrial operations. Given India's large diesel economy and abundant renewable feedstock resources, Bio-IBA has the potential to become an important component in the country's transition towards lower-carbon fuels. 

Encouragingly, stakeholders across the value chain, including fuel producers, vehicle and equipment manufacturers, research institutions and end users, are actively working towards enabling Bio-IBA-based diesel blending in India. Multiple initiatives aimed at technology validation, application development, regulatory assessment and supply-chain preparedness are progressing in parallel, reflecting growing industry interest in bringing diesel blending solutions to commercial reality.

"This agreement marks an important milestone in our relationship with Praj and in the advancement of Bio-IBA in India" said Gevo Chief Executive Officer Paul Bloom. "Gevo brings proven renewable isobutanol technology and commercialization experience, while Praj contributes deep expertise in engineering, deployment and market development. Together, we are creating a framework to unlock new opportunities for Bio-IBA, particularly in diesel applications, while supporting broader decarbonization objectives."

"Our collaboration with Gevo has steadily evolved through technology development, application innovation and market-building efforts over the years", said Dr. Pramod Chaudhari, Founder Chairman, Praj Industries. "This Development & Commercialization Agreement establishes a strong foundation for bringing Bio-IBA to the Indian market. We believe Bio-IBA has the potential to emerge as an important renewable fuel solution for the diesel economy, complementing India's broader energy transition and sustainability goals."

Beyond diesel applications, Bio-IBA also serves as a platform molecule for the production of Sustainable Aviation Fuel (SAF) and other renewable chemicals, further highlighting its versatility and long-term strategic importance within the emerging bioeconomy.

According to the Petroleum Planning & Analysis Cell (PPAC), India consumed approximately 94.7 million tonnes of high-speed diesel in FY2025-26, underscoring the significant opportunity for innovative low-carbon fuel solutions that can support the nation's energy security and decarbonization ambitions.