Wood Pellet Market to receive overwhelming hike in Revenues by 2023
Transparency Market Research, in a report titled “Wood Pellets Market – Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2015 – 2023,” states that the value of the global wood pellets market is projected to rise from US$6.2 bn in 2014 to US$20 bn in 2023. If these values hold true, the report states that the market will register a 14.10% CAGR therein.
The report, with the help of the Porter’s five forces model, sheds light on the wood pellets industry chain. It evaluates the bargaining power of buyers and suppliers, the threat of substitutes and new entrants, and the rivalry among key competitors. The report also analyzes the value chain of the wood pellets market.The global wood pellets market is fueled by the rise in financial incentives provided by various federal agencies, the presence of favorable government agreements and policies, and the low cost and long-term supply of wood pellets. The fact that wood pellets offer an environmental advantage over conventional fuels also presents lucrative opportunities for players within the market. On the flip side, the release of flue gas during the storage of wood pellets is anticipated to hamper the development of the global market.
On the basis of application, the wood pellets market is bifurcated into heating and power plants. Accounting for a massive 70% share in 2014, the heating application segment led the overall market in terms of revenue and is anticipated to retain its lead throughout the forecast period. Wood pellets are used for district, industrial, and residential heating. In 2014, power plants used almost 800,000 tons of wood pellets.The global wood pellets market is segmented on the basis of geography into Europe, Asia Pacific, North America, Central and South America, and the Middle East and Africa. Led by the UK, Europe held the largest share in the overall wood pellets market in 2014. The market in this region is fueled by the significant support from the government in the form of incentives for the generation of green energy. Strict emission norms have also propelled the North America wood pellets market. The international trade of wood pellets is strongly driven by the high energy density of wood pellets and their easy availability in the developed markets of Europe and North America.
Enviva LP, Wood Pellet Energy (UK) LTD., The Westervelt Company, Allance Pellet Machinery, Rentech, Inc., F.E. Wood & Sons, Enito Singpellet Pte Ltd, Pinnacle Renewable Energy Group, Andritz AG, German Pellets GmbH, Drax Group plc, Georgia Biomass, LLC, and Energex are some of the notable participants within the global wood pellets market. These players are profiled in the research report based on attributes such as company overview, business strategies, financial performance, and recent developments.