India Projected To Produce 8 Million Tonnes of SAF by 2040 The projected capital investment will result in a substantial socio-economic impact, creating between 1.1 and 1.4 million jobs across the value chain and reducing crude oil import bills by USD5–7 billion annually.
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India could produce eight to 10 million tonnes of Sustainable Aviation Fuel (SAF) annually by Financial Year 2040 which will position India as a leading SAF exporter serving global markets.
According to Deloitte India report, "Green wings: India's Sustainable Aviation Fuel (SAF) revolution in the making," Investments worth INR 6–7 lakh crore (USD70–85 billion) would be required to realise the projected SAF production capacity. "It will give impetus to the aviation sector's decarbonisation efforts, reducing carbon emissions to 20–25 million tonnes annually," it stated.
The projected capital investment will result in a substantial socio-economic impact, creating between 1.1 and 1.4 million jobs across the value chain and reducing crude oil import bills by USD5–7 billion annually.
Viral Thakker, Partner and Sustainability and Climate Leader, Deloitte South Asia, said, "India's SAF journey is more than meeting domestic demand or becoming a global exporter—it is about creating a robust ecosystem where technology, policy and local communities are interwoven. By empowering farmers and reducing carbon emissions, SAF offers a blueprint for sustainable economic growth. The confluence of abundant feedstock, technological innovation and policy alignment presents an immediate opportunity to meet our blending mandates and serve global demand. The challenge now is to move swiftly, turning strategic vision into practical solutions that deliver long-term environmental and economic value."
As per Deloitte, India's estimated surplus of 230 million tonnes of agricultural residue will be a crucial resource for producing SAF. This surplus will serve as a vital feedstock for ethanol (2G) production, a key component in the Alcohol-to-Jet (AtJ) technology pathway for SAF manufacturing. At the same time, AtJ route with ethanol (1G) produced from sugar and grain can provide an initial boost until the technology fully matures. Municipal Solid Waste (MSW) and used cooking oil (UCO) will contribute to the overall potential. Alternate feedstock such as sweet sorghum, seaweed and industrial waste can give further impetus to SAF potential with technological maturity.
Prashanth Nutula, Partner, Deloitte India, said, "The drive to produce SAF is quickly becoming a reality globally and in India. With a 2–3 per cent share in the global ATF market, India is favourably positioned in the global aviation fuel market, including SAF. Moreover, India also emerges as a competitive geography due to its proximity to airline hubs in the Middle East and Europe and favourable cost structures."
"As a result, India is poised to play a pivotal role as global demand for SAF surges. As we harness the power of diverse feedstocks, such as agricultural residue and municipal waste, we also set the foundation for waste-to-fuel innovation that could be replicated across other sectors. By fostering collaboration across sectors, India can shape the future of sustainable aviation globally, driving both environmental and economic impact now and for decades to come," he added.
