BiofuelCircle Raises Rs 35 Crore Bridge Funding to Expand Biomass Supply Chain Ahead of Series B

BiofuelCircle, a digital platform focused on biomass and biofuels, has raised Rs 35 crore in bridge funding from its existing investors to strengthen working capital and accelerate the expansion of India's biomass supply chain, as the country steps up efforts to boost renewable energy and reduce carbon emissions.

The funding round was led by Spectrum Impact, with participation from Better Capital, Karma Capital and other existing investors. The company said the fresh capital would support its next phase of growth by strengthening its biomass aggregation infrastructure and operational network while complementing additional working capital financing facilities.

Founded in 2020, BiofuelCircle has developed a technology-enabled marketplace that connects farmers, biomass aggregators, suppliers, transporters and industrial consumers. The platform facilitates biomass sourcing through digital price discovery, logistics management, quality assurance and trade facilitation, helping convert agricultural residue into a reliable clean energy resource.

The company has expanded its presence across 10 states, covering 800 villages, with a network of more than 1.7 lakh farmers, 1,300 biomass suppliers and 400 industrial buyers. During FY26, it added 50 new Biomass Banks, further strengthening its procurement and distribution network.

Commenting on the funding, Suhas Baxi, Co-founder and Group CEO of BiofuelCircle, said the bridge round reflected investors' confidence in the company's long-term vision. He said the new capital, along with additional working capital facilities, would help accelerate biomass deliveries, create greater value for farmers, biomass suppliers and industrial consumers, and strengthen India's clean energy ecosystem ahead of the company's planned Series B fundraising.

India's growing emphasis on energy security, industrial decarbonisation and circular economy practices has increased demand for sustainable biomass across biofuel and clean energy applications. BiofuelCircle said it aims to leverage its digital and physical infrastructure to build an organised, transparent and scalable biomass supply chain that supports renewable energy adoption while creating additional income opportunities for farmers and rural entrepreneurs.