UK Wood Pellet Imports to Reach Record in 2024

According to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network in November, the U.K. is projected to import a record 9.641 million metric tons of wood pellets in 2024. This increase follows a significant decrease in wood pellet imports during 2023 and 2022, attributed to fluctuating global wood pellet prices and competition from alternative energy sources.

In 2024, over 93% of the UK’s wood pellet demand is expected to be used for industrial energy production, with the remaining 7% allocated for domestic and commercial purposes. Residential use of wood pellets, historically low, is forecast to decline further as the U.K. phases out its Domestic Renewable Heat Incentive.

The report also reveals that total U.K. wood pellet consumption is expected to reach 9.848 million metric tons in 2024, a notable increase from 6.592 million tons in 2023, 7.741 million tons in 2022, and 9.545 million tons in 2021.

Imports will remain crucial in meeting the U.K.’s pellet demand, with imports projected at 9.641 million metric tons in 2024, compared to 6.364 million metric tons in 2023, 7.516 million metric tons in 2022, and 9.25 million metric tons in 2021. The U.S. continues to be the largest supplier of wood pellets to the U.K., accounting for 73% of imports by volume in 2023, followed by Canada, Latvia, the Netherlands, Estonia, and Brazil.