Italy: Imports of wood pellets up 27% in 2018

After a 9% increase in 2017, wood pellets imported by Italy showed a much more consistent trend growth in 2018. An increase of 27% from Jan.-Dec. 2018 proves that Italy’s demand for pellets is still high as manifested in the last 7-8 years. 

In quantity, the imports jumped to over 2 million tonnes in Jan.-Dec. 2018 (Jan.-Dec. 2017: 1.6 million tons). At the same time, in value, the increase was as well of 27% (EUR 368 million in Jan.-Dec. 2018).

Austria remains the main source of imports: +56%; from 425 thousand tons in Jan.-Dec. 2017, to 663 thousand tons in Jan.-Dec. 2018. Imports from Germany grew 66% (up to 174 thousand tons) and those from Slovenia by 5%.

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More than two thirds of the total quantity of wood pellets imported by Italy comes from the EU countries (1.4 million tons and a 26% increase in Jan.-Dec. 2018).

According to the Italian heating market growth expectations and the national Renewable Energy Action Plan, Italy’s use of wood pellets is forecast to reach 5 million metric tons (MMT) in 2020.

However, only 15 percent of domestic demand is met by domestic production, with the remaining 85 percent being covered by imports. Lombardia is the main production area, accounting for 45 percent of total supply, followed by Veneto (18 percent), Friuli Venezia Giulia (16 percent), and Trentino Alto Adige (8 percent).

In Italy, wood pellets are mainly used in small-scale private residential and industrial boilers for heating. According to the Italian Association of Wood Energy Chain (AIEL), bagged pellet (15 kilograms) represents almost the total consumption. Bulk pellet transported with silo trucks is no more than 20,000 metric tons (MT).

Wood pellets are mainly distributed through retail shops (i.e. hardware stores) and fossil fuel retailers.