Non coniferous wood fuel market in Russia

Earlier Report Observations

From 2018 to 2020, production of non-coniferous wood fuel in Russia started at a high level, supported by technological advancements and capacity expansion in the wood fuel segment. However, increasing state regulations on the export of unprocessed timber, including the announcement of a ban effective from January 2022, introduced uncertainty and likely affected raw material availability, contributing to a gradual decline in output and market volume.

By 2021, the wood charcoal market reached saturation, slowing growth across the sector. The following year, Western sanctions and export bans on unprocessed timber drastically reduced export volumes, forcing producers to focus on domestic sales. This shift boosted the internal market size in 2022, even as production continued to fall.

In 2023, production dropped further, partly due to changing consumer preferences and market conditions that also led to decreased output of hardwood lumber. With exports nearly halted, the market relied entirely on domestic consumption, resulting in a smaller overall market volume.

Production non coniferous wood fuel in Russia

In kind, 2017-2020, K m³

Top producers of non coniferous wood fuel, 2017-2020

World map of production of non coniferous wood fuel, 2017-2020

Russia's production of non-coniferous wood fuel has declined for the second year in a row. In 2020, the country produced 4 357 thousand cubic meters, which represents a slight decrease of 0.6% compared to 2019. Looking at the period from 2017 to 2020, overall production grew by 2.2%, averaging an annual increase of 0.7%. The highest production level was recorded in 2018 at 4 738 thousand cubic meters, marking an 11.1% increase that year. However, the largest decline occurred in 2019, with production dropping by 7.5%.

Annual dynamics of production in Russia in kind, 2017-2020, K m³

In value, 2017-2020, M $ US

The value of Russia's non-coniferous wood fuel production has also fallen for the second consecutive year. In 2020, output was valued at 153.1 million US dollars, showing a modest decline of 5.2% from the previous year. Over the 2017-2020 period, production value increased by 20.6%, translating to an average annual growth rate of 6.4%. The peak value was reached in 2018 at 180.9 million US dollars, which saw a significant 42.5% increase. The largest decrease occurred in 2019, with a 10.8% drop.

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

Exports non coniferous wood fuel from Russia

Exports in kind, K m³

Russia's exports of non-coniferous wood fuel in volume terms have increased for the second year running. In 2020, exports reached 1 208 thousand cubic meters, reflecting a substantial 22.1% rise compared to 2019. From 2017 to 2020, export volumes grew by 69%, averaging an annual increase of 19.1%. The lowest export volume was recorded in 2018 at 680 thousand cubic meters, which saw a 4.8% decline. The largest increase occurred in 2019, with exports surging by 45.4%.

Annual dynamics of product's exports from Russia in kind, 2017-2020, K m³

Between 2017 and 2020, Russia's exports of non-coniferous wood fuel in volume terms were heavily concentrated on Finland, which accounted for 74.2% of total flows. The remaining volume was distributed among other trading partners.

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

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

Exports in value, K $ US

Russia's exports of non-coniferous wood fuel in value terms have now increased for three consecutive years. In 2020, exports stood at 42 442 thousand US dollars, marking a 16.5% gain over the previous year. From 2017 to 2020, export value rose by 99.5%, averaging an annual growth rate of 25.9%.

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

From 2017 to 2020, the primary buyers of non-coniferous wood fuel from Russia in value terms were Finland, Norway, and Denmark. Finland led with 69.6% of exports, followed by Norway at 8.1% and Denmark at 6.1%. Together, these three countries accounted for 83.8% of Russia's total export value in this category.

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

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

Imports non coniferous wood fuel to Russia

Imports in kind, K m³

After two years of growth, Russia's imports of non-coniferous wood fuel in volume terms declined in 2020. Imports totaled 6 thousand cubic meters, representing a limited decrease of 6.4% year-over-year. Over the 2017-2020 period, import volumes increased by 14.4%, averaging an annual rise of 4.6%. The highest import volume was recorded in 2019 at 6 thousand cubic meters, which saw an 11.5% increase that year.

Annual dynamics of product's imports to Russia in kind, 2017-2020, K m³

Between 2017 and 2020, Germany dominated Russia's imports of non-coniferous wood fuel in volume terms, accounting for 72.4% of total flows. Other countries collectively made up the remaining share.

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

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

Imports in value, K $ US

Following a two-year uptick, Russia's imports of non-coniferous wood fuel in value terms declined in 2020. Imports reached 2 312 thousand US dollars, marking a small decrease of 2.8% compared to the previous year. From 2017 to 2020, import value increased by 48.5%, averaging an annual growth rate of 14.1%. The peak value was recorded in 2019 at 2 379 thousand US dollars, which experienced a 27.9% increase that year.

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

From 2017 to 2020, Germany and France were the main sources for Russia's imports of non-coniferous wood fuel in value terms, jointly accounting for 83.0% of total flows. The remaining share was distributed among other markets.

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

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