Coniferous fuel wood in chips and particles market in Spain

Earlier Report Observations

The market for coniferous fuel wood chips in Spain experienced strong growth from 2018 to 2022, with its value rising from 54.9 million US dollars to 121.8 million US dollars. This expansion was initially supported by the operational chip plant in Sigüeiro, Galicia, which added production capacity from late 2016, and growing customer preference for high-quality chips to improve combustion efficiency. The momentum accelerated from 2021 onward as the broader biomass market expanded, with over 500 000 automated biomass units operating and nearly 80 000 new units sold in 2021 alone. Key regulatory drivers included Royal Decree 376/2022, enacted in May 2022, which established sustainability criteria and emission reduction requirements for biomass fuels, making them eligible for financial aid. Simultaneously, the global energy crisis heightened demand for affordable solid biofuels, further straining supply and pushing market values upward.

After peaking in 2022, the market corrected in 2023, declining to 95.1 million US dollars as pellet prices began to retreat from crisis highs and the softwood timber sector faced weaker demand due to subdued residential investment and tighter financial conditions. By 2024, the market stabilized around 93.2 million US dollars, underpinned by wood chips remaining the most economical heating fuel in Spain. Ongoing consolidation in pellet production into larger plants and the application of ISO quality standards for chips and pellets helped maintain steady consumption, even as import forecasts for softwood indicated a slight downward trend.

Production coniferous fuel wood in chips and particles in Spain

In value, 2017-2020, K $ US

Spain's production of coniferous fuel wood in chips and particles has increased for the third consecutive year. In 2020, output was valued at 63 988 thousand US dollars, marking an 8.8% improvement compared to the previous year. Over the period from 2017 to 2020, production grew by 30.9%, with a compound annual growth rate of 9.4%.

Annual dynamics of production in Spain in value, 2017-2020, K $ US

In kind, 2017-2020, K t

After a two-year decline, Spain's production volume of coniferous fuel wood in chips and particles increased. In 2020, 934.1 thousand tonnes were produced, representing a slight year-over-year rise of 1.7%. Between 2017 and 2020, overall production decreased by 5.2%, equating to an annualized decline of 1.8%. The lowest volume was recorded in 2019 at 918.5 thousand tonnes, with the largest drop of 3.7% occurring that same year.

Annual dynamics of production in Spain in kind, 2017-2020, K t

Exports coniferous fuel wood in chips and particles from Spain

Exports in kind, t

The data shows irregular changes, indicating a volatile market environment. Exports reached their lowest point in 2019 at 23 522 tonnes and peaked in 2017, reflecting a 3.1-fold gap between these years. In 2020, Spain's exports of coniferous fuel wood in chips and particles surged to 49 422 tonnes, an abrupt 110.1% increase year-over-year. The largest decline of 48.8% was recorded in 2019.

Annual dynamics of product's exports from Spain in kind, 2017-2020, t

From 2017 to 2020, France, Portugal, and the Netherlands were the leading destinations for Spain's exports in kind. France accounted for 45.6% of exports, Portugal for 29.6%, and the Netherlands for 16.6%, together making up 91.8% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Spain in kind, 2017-2020

Exports in value, K $ US

The data reveals irregular changes, pointing to a volatile market environment. Export levels fluctuated 2.5 times between the high in 2017 and the low in 2019. In 2020, Spain's exports of coniferous fuel wood in chips and particles amounted to 4 812 thousand US dollars, reflecting an abrupt 97.1% rise compared to 2019. The minimum value was recorded in 2019 at 2 441 thousand US dollars, with the largest decline of 48.2% occurring that year.

Annual dynamics of product's exports from Spain in value, 2017-2020, K $ US

Throughout 2017 to 2020, the three largest markets for Spain's exports in value terms were the Netherlands, France, and Portugal. Together, they accounted for 89.8% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Spain in value, 2017-2020

Imports coniferous fuel wood in chips and particles to Spain

Imports in kind, t

The data shows irregular changes, indicating a volatile market environment. Import volumes peaked in 2018 at 14 773 tonnes and dropped to a minimum in 2019 at 976 tonnes, a 15-fold shift. In 2020, Spain's imports of coniferous fuel wood in chips and particles amounted to 9 258 tonnes, marking a sharp gain of 848.5% versus the previous year. The largest decline of 93.4% was recorded in 2019.

Annual dynamics of product's imports to Spain in kind, 2017-2020, t

Over the period from 2017 to 2020, Venezuela, Germany, and Portugal were the biggest contributors to Spain's imports in kind. Venezuela accounted for 25.3% of imports, Germany for 24.0%, and Portugal for 23.9%, jointly representing 73.1% of total flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Spain in kind, 2017-2020

Imports in value, K $ US

The market exhibited an unstable trend throughout the timeframe. A 2.2-fold variation was recorded between the minimum in 2017 and the maximum in 2020. In 2020, Spain's imports of coniferous fuel wood in chips and particles stood at 3 850 thousand US dollars, which is 115.7% more compared to the previous year. The largest decline of 42.7% was recorded in 2019.

Annual dynamics of product's imports to Spain in value, 2017-2020, K $ US

From 2017 to 2020, Germany, Estonia, and Venezuela consistently held leading positions in Spain's import structure in value terms. Germany accounted for 43.5% of imports, Estonia for 12.4%, and Venezuela for 9.2%, together making up 65.2% of total flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Spain in value, 2017-2020