Wood charcoal market in Costa Rica

Earlier Report Observations

From 2018, Costa Rica's wood charcoal production increased steadily, supported by the country's carbon neutrality agenda and the strengthening of its domestic carbon market. The launch of the Carbon Neutrality 2.0 Program and the 2018–2050 Decarbonization Plan created a policy framework that incentivized sustainable forest management and encouraged charcoal producers to organize into cooperatives, improving production efficiency and market access. This contributed to a rise in domestic output from 13 thousand t in 2018 to over 13.9 thousand t by 2023.

Total market volume experienced a notable surge in 2021, reaching 15.5 thousand t, driven primarily by a spike in imports. This jump coincided with the growth of the artisanal and ecological charcoal segment, where packaged products gained shelf space in national supermarket chains, boosting demand. In 2022, stricter environmental regulations and sustained domestic demand for household and recreational use led to a correction in import levels, resulting in a slight market contraction that year before growth resumed.

By 2023, the market recovered to 15.5 thousand t. Higher timber prices and increased activity in the local forest products market, alongside advancing carbon market regulations and the widespread adoption of ESG goals by businesses, provided continued momentum. The ongoing promotion of sustainable charcoal production and the consolidation of producer cooperatives further supported the market's expansion throughout the period.

Production wood charcoal in Costa Rica

In kind, 2017-2020, t

Top producers of wood charcoal, 2017-2020

World map of production of wood charcoal, 2017-2020

Costa Rica's wood charcoal production has grown for the third year in a row. In 2020, the country produced 13 367 tons of wood charcoal, marking a modest year-over-year increase of 1.4%. Looking at the period from 2017 to 2020, production rose by 4.3%, with an average annual growth rate of 1.4%.

Annual dynamics of production in Costa Rica in kind, 2017-2020, t

Exports wood charcoal from Costa Rica

Exports in kind, t

The data shows irregular fluctuations, pointing to a volatile market environment. Exports hit their lowest point in 2019 and peaked in 2017, with a staggering 3 781-fold difference between these years. In 2020, Costa Rica exported 1 ton of wood charcoal, representing a dramatic surge of 132 902.0% compared to 2019.

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

From 2017 to 2020, Panama was the top buyer of wood charcoal from Costa Rica, accounting for 73.3% of total exports in volume. The remaining exports were distributed among numerous other countries.

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

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

Exports in value, K $ US

The market displayed an unstable pattern over this period. Export values bottomed out in 2019 and reached their highest level in 2017, with a 3 153-fold variation between these years. In 2020, Costa Rica's wood charcoal exports totaled 1.3 thousand US dollars, showing a sharp increase of 125 002.0% from the previous year.

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

Between 2017 and 2020, Panama and Nicaragua were the leading buyers of wood charcoal from Costa Rica in value terms, together making up 94.0% of total exports. The rest was spread across a fragmented group of other countries.

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

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

Imports wood charcoal to Costa Rica

Imports in kind, t

Costa Rica's wood charcoal imports have risen for the third consecutive year. In 2020, imports reached 1 026 tons, reflecting a year-over-year growth of 2.6%. From 2017 to 2020, imports increased by 49.2%, which translates to an annualized rate of 14.3%.

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

During the 2017–2020 period, Paraguay was the main source for Costa Rica's wood charcoal imports in volume, representing 81.1% of the total. Other markets contributed smaller shares, forming a long tail of minor partners.

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

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

Imports in value, K $ US

Costa Rica's wood charcoal import values have climbed for the third year in a row. In 2020, imports amounted to 579.1 thousand US dollars, indicating a steady year-over-year rise of 6.6%. Between 2017 and 2020, imports grew by 58.6%, equivalent to an annualized increase of 16.6%.

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

From 2017 to 2020, Paraguay consistently dominated Costa Rica's wood charcoal imports in value, holding 76.4% of the total. This highlights a high reliance on this market, with the remainder shared among other countries.

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

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