According to the August 25th issue of Biomass Magazine, demand for wood pellets continues to skyrocket globally. Tight supplies, the article’s author says, are likely to spur significant investment in new production facilities around the world.
According to market intelligence firm Hawkins Wright, demand growth in 2020-2021 outpaced supply growth by ~10%, and the firm suggests that trend is likely to continue. In 2021, global demand was ~45 million metric tons (MT) with an additional ~5 million MT in additional demand expected this year.
Pellet Mill Magazine’s 2022 US and Canada Fuel Pellet Production Map includes ~12.8 MT of operational capacity in the US, with ~1.7 MT proposed or already under construction. Canadian data indicates ~4.9 million MT of operating capacity, with an additional 865,000 MT proposed. The magazine notes that these numbers will be updated in the upcoming 2023 map.
The complete article has a list of some of the active projects in both the US and Canada, as well as recent acquisitions and closures.
FEA compiles the Wood Markets News from various 3rd party sources to provide readers with the latest news impacting forest product markets. Opinions or views expressed in these articles do not necessarily represent those of FEA.