Indonesia: Wood Fuel Market 2024

Wood Fuel Market Size in Indonesia

In 2022, the Indonesian wood fuel market was finally on the rise to reach $X after three years of decline. Overall, consumption, however, saw a noticeable curtailment. As a result, consumption attained the peak level of $X. From 2017 to 2022, the growth of the market failed to regain momentum.

Wood Fuel Production in Indonesia

In value terms, wood fuel production expanded slightly to $X in 2022 estimated in export price. Over the period under review, production, however, saw a pronounced decrease. The pace of growth appeared the most rapid in 2016 when the production volume increased by 33%. Wood fuel production peaked at $X in 2018; however, from 2019 to 2022, production failed to regain momentum.

Wood Fuel Exports

Exports from Indonesia

In 2022, shipments abroad of wood fuel was finally on the rise to reach X cubic meters for the first time since 2019, thus ending a two-year declining trend. Over the period under review, exports continue to indicate a significant increase. The most prominent rate of growth was recorded in 2013 with an increase of 2,643%. As a result, the exports reached the peak of X cubic meters. From 2014 to 2022, the growth of the exports failed to regain momentum.

In value terms, wood fuel exports surged to $X in 2022. In general, exports showed a significant increase. The most prominent rate of growth was recorded in 2013 when exports increased by 2,217% against the previous year. As a result, the exports reached the peak of $X. From 2014 to 2022, the growth of the exports remained at a lower figure.

Exports by Country

China (X cubic meters) was the main destination for wood fuel exports from Indonesia, with a 53% share of total exports. Moreover, wood fuel exports to China exceeded the volume sent to the second major destination, Saudi Arabia (X cubic meters), threefold. Qatar (X cubic meters) ranked third in terms of total exports with a 9.1% share.

From 2012 to 2022, the average annual rate of growth in terms of volume to China totaled +69.7%. Exports to the other major destinations recorded the following average annual rates of exports growth: Saudi Arabia (+59.5% per year) and Qatar (+4.0% per year).

In value terms, China ($X) emerged as the key foreign market for wood fuel exports from Indonesia, comprising 59% of total exports. The second position in the ranking was taken by Saudi Arabia ($X), with an 11% share of total exports. It was followed by Qatar, with a 6.4% share.

From 2012 to 2022, the average annual growth rate of value to China amounted to +73.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Saudi Arabia (+58.8% per year) and Qatar (+1.0% per year).

Export Prices by Country

In 2022, the average wood fuel export price amounted to $X per cubic meter, shrinking by -3.4% against the previous year. Overall, the export price, however, showed a noticeable increase. The growth pace was the most rapid in 2014 when the average export price increased by 59% against the previous year. Over the period under review, the average export prices reached the maximum at $X per cubic meter in 2017; however, from 2018 to 2022, the export prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was the United Arab Emirates ($X per cubic meter), while the average price for exports to Vietnam ($X per cubic meter) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to South Korea (+10.6%), while the prices for the other major destinations experienced more modest paces of growth.

Wood Fuel Imports

Imports into Indonesia

Wood fuel imports into Indonesia skyrocketed to X cubic meters in 2022, picking up by 105% against the previous year. Over the period under review, imports posted strong growth. The most prominent rate of growth was recorded in 2017 when imports increased by 398% against the previous year. As a result, imports attained the peak of X cubic meters. From 2018 to 2022, the growth of imports failed to regain momentum.

In value terms, wood fuel imports reduced remarkably to $X in 2022. Overall, imports posted a moderate expansion. The most prominent rate of growth was recorded in 2018 when imports increased by 80% against the previous year. Over the period under review, imports hit record highs at $X in 2020; however, from 2021 to 2022, imports failed to regain momentum.

Imports by Country

South Africa (X cubic meters), Pakistan (X cubic meters) and Japan (X cubic meters) were the main suppliers of wood fuel imports to Indonesia, with a combined 98% share of total imports.

From 2012 to 2022, the biggest increases were recorded for Pakistan (with a CAGR of +37.5%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, Pakistan ($X) constituted the largest supplier of wood fuel to Indonesia, comprising 87% of total imports. The second position in the ranking was taken by South Africa ($X), with a 6% share of total imports. It was followed by China, with a 3.8% share.

From 2012 to 2022, the average annual growth rate of value from Pakistan stood at -5.2%. The remaining supplying countries recorded the following average annual rates of imports growth: South Africa (0.0% per year) and China (+36.0% per year).

Import Prices by Country

In 2022, the average wood fuel import price amounted to $X per cubic meter, dropping by -70.9% against the previous year. Overall, the import price continues to indicate a perceptible slump. The pace of growth was the most pronounced in 2018 when the average import price increased by 820%. The import price peaked at $X per cubic meter in 2019; however, from 2020 to 2022, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was China ($X per cubic meter), while the price for South Africa ($X per cubic meter) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by China (+26.9%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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