Fuel wood in chips and particles market in South America

Earlier Report Observations

From 2018 to 2020, the South American market for fuel wood in chips and particles remained stable at approximately 9,600 thousand tonnes, with a slight decrease to 9,565 thousand tonnes in 2020. During these years, the market in Argentina operated through both formal and informal channels, and occasional resource scarcity affected local supply dynamics without significantly altering the overall market volume.

The market expanded consistently from 2021, reaching 13,551 thousand tonnes by 2023. A key driver was increased demand during 2022 due to early and severe winter conditions in Uruguay, which boosted heating fuel consumption. This period also coincided with broader energy uncertainty, making wood chips a more attractive option. Subsequently, the maturation of online sales platforms in Argentina during 2023 facilitated easier access to fuel wood, further supporting market growth.

Production fuel wood in chips and particles in South America

In kind, 2017-2020, K t

Top producers of fuel wood in chips and particles, 2017-2020

World map of production of fuel wood in chips and particles, 2017-2020

South America's production of fuel wood in chips and particles has declined for the second year in a row. In 2020, the region produced 16 201 thousand tonnes, marking a moderate decrease of 7.6% compared to 2019. Looking at the period from 2017 to 2020, production fell by 6.5%, which translates to an annualized decline rate of 2.2%. The peak production was recorded in 2018 at 18 672 thousand tonnes, with the largest year-on-year increase of 7.8% also occurring that year.

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

In value, 2017-2020, M $ US

After two years of growth, the production value of fuel wood in chips and particles in South America turned downward. In 2020, the output was valued at 1 224 million US dollars, representing a significant decline of 16.1% from 2019. Over the 2017-2020 period, production value decreased by 2.8%, with a compound annual growth rate of -1.0%. The highest value was reached in 2019 at 1 459 million US dollars, while the largest increase of 12.3% was recorded in 2018.

Annual dynamics of production in South America in value, 2017-2020, M $ US

Exports fuel wood in chips and particles from South America

Exports in kind, K t

South America's exports of fuel wood in chips and particles have fallen for the second consecutive year. In 2020, exports stood at 6 643 thousand tonnes, showing a sharp decline of 16.2% compared to the previous year. From 2017 to 2020, exports decreased by 19.8%, equating to an annualized drop of 7.1%. The maximum export volume was recorded in 2018 at 9 069 thousand tonnes, which also saw the largest increase of 9.5% that year.

Annual dynamics of product's exports from South America in kind, 2017-2020, K t

Between 2017 and 2020, Japan and China were the main importers of fuel wood in chips and particles from South America, together accounting for 84.3% of total exports by volume. The remaining share was distributed among other countries.

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

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

Exports in value, M $ US

The value of fuel wood in chips and particles exports from South America has declined for the second year running. In 2020, exports were valued at 501.9 million US dollars, a substantial drop of 23.9% from 2019. Over the 2017-2020 period, export value fell by 16.6%, with an annualized decrease rate of 5.9%. The peak value was recorded in 2018 at 687.0 million US dollars, which also experienced the largest increase of 14.1% that year.

Annual dynamics of product's exports from South America in value, 2017-2020, M $ US

From 2017 to 2020, Japan and China together represented 80.4% of South America's total export value for fuel wood in chips and particles. Other countries made up the remaining share, forming a diverse but smaller portion of the market.

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

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

Imports fuel wood in chips and particles to South America

Imports in kind, K t

In 2020, South America imported 7 thousand tonnes of fuel wood in chips and particles, an increase of 16.5% from 2019. Over the 2017-2020 period, imports decreased by 33.2%, with a compound annual growth rate of -12.6%. The lowest import volume was recorded in 2019 at 6 thousand tonnes, while the highest was in 2018 at 16 thousand tonnes. The largest decline occurred in 2019 with a drop of 64.1%, and the largest increase was in 2018 with a rise of 59.8%.

Annual dynamics of product's imports to South America in kind, 2017-2020, K t

Between 2017 and 2020, fuel wood in chips and particles imports to South America came from a wide range of sources. Portugal accounted for 8.2% of imports by volume, the United States for 7.7%, and Germany for 2.8%, together making up 18.7% of total imports. The remaining 81.3% was spread across many smaller markets.

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

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

Imports in value, M $ US

South America imported approximately 6.6 million US dollars worth of fuel wood in chips and particles in 2020, showing a measured decrease of 3.7% from the previous year. Over the 2017-2020 period, import value fell by 6.5%, with a compound annual growth rate of -2.2%. The lowest value was recorded in 2018 at 6.3 million US dollars, which also saw the largest decline of 10.5%. The largest increase occurred in 2019 with a rise of 8.5%.

Annual dynamics of product's imports to South America in value, 2017-2020, M $ US

From 2017 to 2020, three key markets—the United States, France, and Spain—together accounted for 72.2% of the total import value of fuel wood in chips and particles to South America.

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

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