Unlocking the Value of Crop Straw in China

As a renewable resource, crop straw holds immense potential to advance the energy transition and support climate goals. In China, approximately 860 million metric tons of crop straw are produced each year, making it a pivotal biomass resource. Through high-value utilization pathways, straw can be upgraded from agricultural residue into a critical feedstock for green energy and carbon removal.

Innovative technologies such as gasification and fermentation can convert crop straw into sustainable aviation fuel, biomethanol, and biomethane, enabling decarbonization in hard-to-abate sectors like aviation and shipping. Pyrolysis can produce straw biochar that enhances soil quality while promoting long-term carbon sequestration. In paddy field systems, reducing the volume of straw returned to the land can significantly reduce methane emissions.

Despite this significant potential, China’s crop straw utilization predominantly focuses on on-site straw return and livestock feed, leaving major energy and emissions reduction opportunities underdeveloped. Addressing challenges such as high collection and transportation costs, alongside a still-maturing industrial chain, will be essential to fully capture the economic value of straw-based biofuels. To support policymakers and industry stakeholders, RMI has conducted a comprehensive analysis of the current status and future prospects of high-value utilization of crop straw in China, offering actionable recommendations to grow rural renewable energy industries, strengthen emission reductions, and scale carbon sequestration.