The impact Russia’s war has had on global pellet markets in Europe

By Katie Schroeder
Biomass Magazine
January 16, 2023
Category: Carbon, Climate & Bioenergy
Region: International

Biomass Magazine checked back in with industry experts on the impacts Russia’s invasion has had on the industry over the past year. Russia being banned from the market left a 2.5 million to 3-million-metric-ton shortfall, says Tim Portz, executive director of the Pellet Fuels Institute. …High demand for wood pellets—stemming from a combination of the Russian market exclusion and other sanctions—has pushed prices up drastically, explains William Strauss, of FutureMetrics. …Strauss says prices have reached up to over 800 euros ($846) per ton, with a long-term average of between 200 and 220 euros. Prices shifted downward in late November and early December due to warmer-than-normal autumn temperatures, allowing industrial pellet producers to scale back on the quantity of pellets sent to some larger buyers.

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