Biological Treatment Technologies Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Treatment (Composting, Vermicomposting, Black Soldier Fly Treatment, Anaerobic Digestion, Fermentation), By Application (Residential, Commercial, Industrial), By Region and Competition, 2021-2031F

Market Overview

The Global Biological Treatment Technologies Market will grow from USD 3.82 Billion in 2025 to USD 5.72 Billion by 2031 at a 6.96% CAGR. Biological treatment technologies utilize microorganisms, such as bacteria and fungi, to degrade organic contaminants in wastewater and solid waste, converting them into stable byproducts like biogas and treated effluent. The market is primarily propelled by stringent environmental regulations regarding discharge quality and the rising global emphasis on circular economy principles, particularly the recovery of energy from waste streams. This strong growth trajectory is supported by industry figures; according to the World Biogas Association, in 2024, global biogas production was projected to grow by 32% from 2023 to 2028, reflecting the increasing adoption of biological systems for sustainable energy generation.

Despite this expansion, the market faces a significant challenge regarding the operational sensitivity of biological processes. These systems require the maintenance of precise environmental conditions, such as stable temperature and pH levels, where even minor fluctuations can disrupt microbial activity and compromise treatment efficiency. This technical constraint necessitates rigorous monitoring and skilled management, which can impede widespread deployment in regions with limited infrastructure or operational expertise.

Key Market Drivers

Stringent environmental regulations and discharge standards serve as the foundational catalyst for the adoption of biological treatment systems. Regulatory bodies globally are implementing rigorous limits on nutrient and organic pollutant concentrations in industrial and municipal effluents, compelling facility operators to upgrade from basic physical treatment to advanced biological processes like membrane bioreactors. This regulatory pressure is evidenced by significant public funding aimed at compliance; according to the U.S. Environmental Protection Agency, February 2024, in the 'Biden-Harris Administration Announces $5.8 Billion for Water Infrastructure Investment' release, $5.8 billion was allocated to states, Tribes, and territories to upgrade essential water infrastructure, directly driving the integration of compliant biological treatment solutions.

Rising global water scarcity and the concomitant demand for wastewater reuse further accelerate market expansion by shifting the focus from mere disposal to resource recovery. As freshwater sources diminish, industries and municipalities are increasingly utilizing biological technologies to recycle wastewater for agricultural and industrial applications, thereby reducing reliance on natural reserves. The urgency of this shift is highlighted by international data; according to the United Nations, March 2024, in the 'United Nations World Water Development Report 2024', approximately 2.2 billion people lack access to safely managed drinking water services, underscoring the critical need for alternative water sources derived through biological purification. To support such extensive infrastructure changes, massive capital is being mobilized; according to Ofwat, in 2024, a spending package of £88 billion was proposed for water companies in England and Wales for the 2025-2030 period, aiming to deliver cleaner rivers and secure water supplies through modernized treatment facilities.

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Key Market Challenges

The operational sensitivity of biological processes constitutes a significant challenge hampering the growth of the Global Biological Treatment Technologies Market. Unlike robust physical or chemical methods, biological systems depend on living microorganisms that require exact environmental conditions to survive and function. Variations in critical parameters like temperature, pH, or feedstock composition can rapidly disrupt microbial activity, leading to process instability and treatment failure. This fragility demands continuous high-level monitoring and specialized operational expertise which are often unavailable in many potential markets.

These stringent technical requirements create a high barrier to entry and sustainability, particularly in regions with developing infrastructure or limited skilled labor. The risk of system upset and the associated high operational expenditure deter investment and restrict the scalability of these technologies. The struggle to achieve widespread deployment due to these complexities is reflected in recent industry data. According to the World Biogas Association, in 2024, only 2% of the organic waste generated globally was effectively treated and recycled. This low utilization rate highlights the difficulty in maintaining the precise operating environments necessary for these biological technologies to flourish on a global scale.

Key Market Trends

The Integration of Artificial Intelligence and IoT for Real-Time Monitoring is revolutionizing the market by mitigating the operational sensitivity of biological processes. Advanced treatment systems are increasingly utilizing smart sensors and machine learning to continuously analyze critical parameters like pH and temperature, allowing operators to predictively manage microbial health and prevent system upsets. This digital transformation enhances reliability, encouraging adoption in complex industrial applications where stability is paramount. Reflecting this technological shift, major players are seeing financial gains; according to Veolia, February 2025, in the '2024 Annual Results', the company's Water business achieved an organic revenue growth of 5.6%, a performance driven significantly by the scalability of its digital services and the deployment of new generative AI capabilities.

Concurrently, the Expansion of Waste-to-Energy and Bioenergy Recovery Solutions is shifting the market focus from contaminant removal to resource generation. Facilities are aggressively adopting anaerobic digestion technologies that convert organic waste into renewable natural gas (RNG), creating valuable revenue streams that offset operational costs. This trend is driving substantial capital flow into the sector, particularly for decentralized agricultural and industrial projects. This surge is quantified by recent infrastructure data; according to the American Biogas Council, February 2025, in the 'Investment in New U.S. Biogas Systems Grows by $3 Billion in 2024' release, the industry secured over $3 billion in new capital investments during 2024, marking a 40% increase in funding compared to the previous year.

Segmental Insights

The Industrial segment is currently positioned as the fastest-growing area in the global biological treatment technologies market, driven by tightening environmental regulations regarding wastewater management. Authorities such as the U.S. Environmental Protection Agency enforce strict effluent discharge limits, requiring manufacturers to implement effective remediation systems. Consequently, sectors including pharmaceuticals and food processing are increasingly adopting biological methods to degrade organic pollutants and ensure regulatory compliance. This widespread necessity to adhere to rigorous environmental standards and manage industrial waste responsibly fuels the rapid expansion of biological treatment applications across the industrial landscape.

Regional Insights

Asia Pacific commands the leading position in the Global Biological Treatment Technologies Market, primarily driven by rapid industrialization and extensive urbanization. This dominance is underpinned by rigorous environmental policies designed to curb pollution and ensure sustainable waste management. Key economies, including China and India, are aggressively expanding their infrastructure, supported by compliance mandates from regulatory entities such as India's Central Pollution Control Board. These measures compel municipal and industrial sectors to adopt biological methods for effective effluent management. Furthermore, the escalating need for water reclamation to address regional scarcity accelerates the adoption of these treatment technologies.

Recent Developments

• In December 2024, LG Water Solutions expanded its portfolio in the biological treatment sector by launching the QuantumFlux Membrane Bioreactor (MBR) membranes at a major industry event in Abu Dhabi. These new membranes are engineered with advanced polyvinylidene fluoride chemistry to offer enhanced durability and chemical resistance for wastewater applications. The product is designed to integrate with biological processes to deliver high-quality effluent while reducing operational costs associated with fouling and maintenance. This launch underscores the company's strategy to provide comprehensive solutions for municipal and industrial wastewater treatment, addressing the growing global demand for efficient water reuse technologies.
• In December 2024, Kurita Water Industries confirmed a significant breakthrough in biological treatment research by successfully operating electrical devices using energy generated from a microbial fuel cell. The company conducted a demonstration test utilizing actual wastewater, where specific "electricity-generating bacteria" decomposed organic matter to produce electricity directly. This innovative system transforms the traditional energy-consuming wastewater treatment process into an energy-harvesting operation. The successful continuous operation marks a crucial step toward the practical application of this technology, which aims to reduce carbon dioxide emissions and energy consumption in industrial and municipal wastewater treatment facilities.
• In October 2024, Veolia announced a strategic acceleration of its water technologies business, explicitly prioritizing advanced biological wastewater treatment as a primary area of innovation. Through its new "GreenUp" strategic program, the company aims to capture the increasing market demand for sustainable solutions by focusing on water reuse and bioenergy production from sludge. This initiative involves deploying proprietary biological technologies to address complex challenges such as micropollutant removal and energy neutrality in treatment plants. The company projects that this targeted focus on high-growth technology segments will allow it to expand its revenue significantly faster than the market average.
• In September 2024, Suez finalized an agreement to design and build a large-scale wastewater treatment plant in Belgrade, Serbia, which will utilize advanced biological treatment processes. The project, executed in consortium with a construction partner, incorporates anaerobic digestion technology to treat wastewater for a population equivalent of 1.5 million. The facility will feature advanced sludge carbonisation to maximize biogas production, turning waste into a renewable energy source. This development represents a major investment in the region's environmental infrastructure, aiming to protect local river biodiversity while promoting a circular economy approach to biological waste management.

Key Market Players

• BioCo Tech AS
• Biffa Ltd
• Composting Solutions Ltd.
• Alfa-Therm Limited
• Supreme International Limited
• Closed Loop Environmental Solution Pty Ltd
• Evoqua Water Technologies LLC
• Pentair PLC
• Alfa Laval Corporate AB
• SCARAB International, LLLP

Report Scope:

In this report, the Global Biological Treatment Technologies Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Biological Treatment Technologies Market, By Treatment:

• Composting
• Vermicomposting
• Black Soldier fly treatment
• Anerobic Digestion
• Fermentation

• Biological Treatment Technologies Market, By Application:

• Residential
• Commercial
• Industrial

• Biological Treatment Technologies Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE