Russia: Wood Pellet Production Update
Link to report:
Wood pellet production in Russia has steadily increased over the past decade, largely driven by exports to Europe where European pellet demand for consumer households and commercial heat and power plants is rising as EU countries increase their use of renewable energy under the Renewable Energy Directive. The EU-28 is the primary destination of Russian wood pellets, accounting for approximately 94 percent of Russian exports and 79 percent of all Russian wood pellet production in 2018. So far, in 2019, between January – July, wood pellet production reached 766 thousand tons, which is 121 percent higher compared to the same period last year. FAS Moscow expects production and exports to further increase in 2019 as European Commission mandates and Member State incentives expand within member countries.
