Assam Tea Gardens Grow Bamboo to Fuel World's First 2G Bioethanol Plant
February 14, 2026
Assam’s tea gardens are turning to bamboo cultivation to support a new ₹4,930 crore bioethanol plant at Numaligarh. This plant is the world’s first commercial-scale 2G bioethanol facility using bamboo as feedstock. It spans 43 acres and was set up by Assam Bio Ethanol Private Limited (ABEPL), a joint venture of Numaligarh Refinery Limited and Finnish firms Chempolis Oy and Fortum. In August 2022, the Assam government allowed tea estates to use up to 5% of their land for non-tea purposes. Taking advantage of this, some tea gardens within 300 km of the plant have started growing bamboo.
ABEPL officials explained that 2G ethanol, made from non-food plant waste like bamboo, is costlier than 1G ethanol but more sustainable and helps protect food security. “We pursued the bioethanol project after research in Finland showed that freshly harvested bamboo, chipped to a specific size, can be a sustainable substitute for food crops,” said an NRL spokesperson. The plant needs five lakh metric tonnes of green bamboo yearly to produce 49,000 metric tonnes of ethanol and other by-products.
Currently, ABEPL has registered 4,200 bamboo farmers across four northeastern states but needs more supply. Tea gardens, with extra land, are stepping in. Bidyananda Barkakoty, adviser of the North Eastern Tea Association, said, “Some tea gardens have started planting bamboo. Our members are also thinking of doing it.” This effort may help the tea industry overcome issues like climate change, ageing bushes, high costs, and labour shortages.
ABEPL has built a supply system where farmers deliver bamboo to nearby chipping units within 30-40 km. The chipped bamboo goes straight to the plant, ensuring quick payments. They plan to distribute 60 lakh free bamboo saplings, mainly Bambusa tulda or Jatibanh, grown at state nurseries. Bamboo takes about four years to be ready for harvest. The long-term goal is to cultivate 12,500 hectares of bamboo.
Tea gardens within the 300 km radius cover 2,50,000 hectares of land, and can offer 12,500 hectares for bamboo cultivation. This partnership marks a promising step for Assam’s tea sector and the green energy future of the region.
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Tags:
Assam
Bamboo
Bioethanol
Tea Gardens
2G Ethanol
Numaligarh
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