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Business Alliances to Open New Growth Opportunities for Players in Wood Pellets Market

10-25-2016 05:07 PM CET | Business, Economy, Finances, Banking & Insurance

Press release from: MRRSE.com

Wood pellets production has increased substantially in the past few years, owing to the implementation of stringent emission norms in Europe and North America. High energy density and easy availability are some of the advantages that facilitate international trade of wood pellets. Growing concerns regarding greenhouse gas emissions (GHGs) have promoted the use of wood pellets as substitutes to fossil fuels for heat and power generation. The U.S. and Canada were the major exporters of wood pellets in 2014, while Russia and certain countries in Asia Pacific and South America are expected to become leading exporters of wood pellets in the near future. Wood pellets are low cost as compared to other conventional fuels including natural gas.

The wood pellets market can be segmented based on application into power plants and heating. The heating application comprises district and residential heating. Wood pellets are employed for power and heat generation. Power plants are expected to consume around 800,000 tons of wood pellets per annum in 2014. Wood pellets for district and industrial heating are generally traded globally, with exports from the U.S., Canada, Australia, and South Africa. However, wood pellets for residential heating are traded regionally. Quality requirements for industrial wood pellets are different from those utilized for residential applications. Logistics facilities and combustion technology largely determine the quality requirements.

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The market for wood pellets has been segmented on the basis of application and geography. According to our analysis, heating was the largest application segment of the wood pellets market in 2014. In terms of revenue, the heating application segment accounted for the highest market share in 2014. Heating application segment is anticipated to dominate the overall wood pellets market throughout the forecast period.

The regional segments included in this study are North America, Europe, Asia Pacific, Middle East and Africa, and Central and South America. These regional segments were further divided into country-wise sub-segments. Europe, led by the U.K., accounted for the largest market share in the global wood pellets market in 2014. The U.K. provides various incentives for green energy generation through wood pellets. Additionally, significant institutional support by the government is provided to achieve the green energy generation objectives of electricity market in the U.K. This, in turn, creates opportunities for heating applications and electricity generation from renewable energy resources in accordance with the EU Climate Action Plan mandates.

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Key participants in the global wood pellets market include Andritz AG, Drax Group plc, Enito Singpellet Pte Ltd, Enviva LP, F.E. Wood & Sons, German Pellets GmbH, Georgia Biomass, LLC, Allance Pellet Machinery, The Westervelt Company, Pinnacle Renewable Energy Group, Rentech, Inc., Energex, and Wood Pellet Energy (UK) LTD. The report provides an overview of these companies, followed by their financial revenues, business strategies, and recent developments.

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MRRSE stands for Market Research Reports Search Engine, the largest online catalog of latest market research reports based on industries, companies, and countries. MRRSE sources thousands of industry reports, market statistics, and company profiles from trusted entities and makes them available at a click. Besides well-known private publishers, the reports featured on MRRSE typically come from national statistics agencies, investment agencies, leading media houses, trade unions, governments, and embassies.

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