Center for Advanced BioEnergy Research, University of Illinois at Urbana-Champaign

Friday, August 29, 2008

Study analyzes biomass industry’s impact on wood prices

Biomass Magazine
September 2008

By Ron Kotrba
Web exclusive posted August 21, 2008 at 10:44 a.m. CST

A new multi-client study conducted by RISI Inc. analyzes the impact of the emerging biomass industry on each sector of the forest products markets. The study “Emerging Biomass Industry: Impact on Wood Fiber Markets” investigates how the demand for wood fiber from the biomass industry will affect woody feedstock prices over the next 15 years.

The report investigated the growing trend of wood-product producers utilizing their waste stream to offset rising energy prices and the affects on wood fiber supplies and pricing. It also peers into how panel producers will become smaller players in the market for residual fiber with the growing demand from bioenergy plants, and whether or not they will lose the ability to influence pricing for their raw materials.

One of the hottest new uses for wood in the U.S. bioenergy sector is industrial-scale wood pellet production to meet Europe’s fast-growing demand. RISI’s comprehensive study looks into future demand for wood pellets – not only from European markets but also Japan and the United States.

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