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Industry5 min readApril 10, 2026

Why India Needs Sustainable Aviation Fuel Now

India's aviation sector is the fastest growing in the world. With SAF mandates coming by 2027, the opportunity for domestic SAF production has never been bigger.

India's Aviation Boom

India is projected to become the third-largest aviation market globally by 2030. Domestic air passenger traffic crossed 150 million in 2024, and the government aims to build 200+ new airports under the UDAN scheme. But this growth comes at a cost — aviation emissions are rising rapidly.

The CORSIA Mandate

The International Civil Aviation Organization (ICAO) introduced CORSIA — the Carbon Offsetting and Reduction Scheme for International Aviation. Starting 2027, Indian airlines operating international routes must offset their carbon emissions. SAF is the most effective tool to achieve this compliance.

Why Domestic Production Matters

Currently, India imports 100% of its aviation fuel. Producing SAF domestically would reduce import dependence, create thousands of green jobs, and position India as a leader in clean aviation. The Indian government has signaled strong interest in SAF blending mandates of 1% by 2027, scaling to 5% by 2030.

Loop Fuels' Role

At Loop Fuels, we're building India's first algae-to-SAF production facility using CSIR-IIP's single-step catalytic hydroprocessing technology. Our process not only produces SAF but also extracts valuable biostimulants — creating a dual-revenue model that makes the economics work.

The Opportunity

India's SAF market is projected to reach significant scale by 2030. Early movers who build production capacity now will capture this growing demand. With proven HEFA technology, supportive government policy, and abundant feedstock, India has everything it needs to become a global SAF hub.