United Kingdom: Wood Pellets Market 2024

Wood Pellets Market Size in the UK

In 2022, after four years of growth, there was significant decline in the UK wood pellets market, when its value decreased by -9.5% to $X. In general, consumption, however, enjoyed a buoyant increase. Over the period under review, the market reached the peak level at $X in 2021, and then dropped in the following year.

Wood Pellets Production in the UK

In value terms, wood pellets production dropped modestly to $X in 2022 estimated in export price. Overall, production continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2014 with an increase of 17% against the previous year. As a result, production attained the peak level of $X. From 2015 to 2022, production growth failed to regain momentum.

Wood Pellets Exports

Exports from the UK

In 2022, overseas shipments of wood pellets increased by 2,345% to X tons for the first time since 2017, thus ending a four-year declining trend. Overall, exports, however, showed a slight shrinkage. The exports peaked at X tons in 2017; however, from 2018 to 2022, the exports stood at a somewhat lower figure.

In value terms, wood pellets exports surged to $X in 2022. In general, exports posted a buoyant increase. As a result, the exports attained the peak and are likely to continue growth in the immediate term.

Exports by Country

The Czech Republic (X tons), Denmark (X tons) and Italy (X tons) were the main destinations of wood pellets exports from the UK, with a combined 55% share of total exports.

From 2012 to 2022, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by the Czech Republic (with a CAGR of +734.4%), while the other leaders experienced more modest paces of growth.

In value terms, the Czech Republic ($X), Italy ($X) and Denmark ($X) constituted the largest markets for wood pellets exported from the UK worldwide, with a combined 53% share of total exports.

The Czech Republic, with a CAGR of +855.2%, saw the highest rates of growth with regard to the value of exports, among the main countries of destination over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2022, the average wood pellets export price amounted to $X per ton, increasing by 5.2% against the previous year. Over the period under review, the export price posted strong growth. The most prominent rate of growth was recorded in 2021 an increase of 92%. The export price peaked in 2022 and is likely to see gradual growth in years to come.

There were significant differences in the average prices for the major foreign markets. In 2022, amid the top suppliers, the country with the highest price was Italy ($X per ton), while the average price for exports to the Netherlands ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Sweden (+23.1%), while the prices for the other major destinations experienced more modest paces of growth.

Wood Pellets Imports

Imports into the UK

In 2022, supplies from abroad of wood pellets decreased by -18.3% to X tons for the first time since 2017, thus ending a four-year rising trend. Over the period under review, imports, however, continue to indicate a remarkable increase. The growth pace was the most rapid in 2013 with an increase of 132%. Imports peaked at X tons in 2021, and then shrank dramatically in the following year.

In value terms, wood pellets imports reduced to $X in 2022. In general, imports, however, enjoyed a buoyant expansion. The most prominent rate of growth was recorded in 2013 when imports increased by 122%. Over the period under review, imports reached the maximum at $X in 2021, and then reduced in the following year.

Imports by Country

In 2022, the United States (X tons) constituted the largest supplier of wood pellets to the UK, accounting for a 66% share of total imports. Moreover, wood pellets imports from the United States exceeded the figures recorded by the second-largest supplier, Canada (X tons), fivefold. Latvia (X tons) ranked third in terms of total imports with a 12% share.

From 2012 to 2022, the average annual growth rate of volume from the United States amounted to +26.4%. The remaining supplying countries recorded the following average annual rates of imports growth: Canada (+1.5% per year) and Latvia (+26.2% per year).

In value terms, the United States ($X) constituted the largest supplier of wood pellets to the UK, comprising 64% of total imports. The second position in the ranking was held by Canada ($X), with a 13% share of total imports. It was followed by Latvia, with a 12% share.

From 2012 to 2022, the average annual growth rate of value from the United States totaled +27.1%. The remaining supplying countries recorded the following average annual rates of imports growth: Canada (+2.3% per year) and Latvia (+30.5% per year).

Import Prices by Country

The average wood pellets import price stood at $X per ton in 2022, with an increase of 11% against the previous year. Overall, the import price continues to indicate a relatively flat trend pattern. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

Average prices varied somewhat amongst the major supplying countries. In 2022, amid the top importers, the countries with the highest prices were Estonia ($X per ton) and Portugal ($X per ton), while the price for Brazil ($X per ton) and the United States ($X per ton) were amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Estonia (+4.9%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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