Wood charcoal market in Latin America and the Caribbean

Earlier Report Observations

From 2018 to 2020, the wood charcoal market in Latin America and the Caribbean expanded steadily, with volume growing from 8.0 million tonnes to 8.3 million tonnes. This growth was primarily driven by robust demand from the Brazilian steel industry, the largest consumer of wood charcoal, which sustained production and domestic consumption. The market's reliance on domestic sources was reinforced by the near-complete absorption of national output.

The market surged between 2021 and 2022, reaching a peak of 9.3 million tonnes. This acceleration was supported by tighter environmental and labor regulations that promoted sustainable production practices, alongside the integration of agricultural by-products and biochar into the supply. Concurrently, rising popularity of barbecue cooking and increased domestic use, as well as regulatory pushes for water filtration systems that utilize charcoal, stimulated additional demand across the region.

In 2023, market volume contracted to 8.7 million tonnes, though the market value rose to $4.6 billion, reflecting a shift toward higher-value products. This period saw the launch of eco-friendly and sustainable charcoal variants, coupled with a significant expansion of e-commerce sales channels. Consumer awareness of environmental impact grew, favoring natural hardwood charcoal and sustainable production methods. For 2024, industry reports highlight continued focus on modernization investments and sustainable sourcing, even as raw material costs increased.

Production wood charcoal in Latin America and the Caribbean

In kind, 2017-2020, K t

Top producers of wood charcoal, 2017-2020

World map of production of wood charcoal, 2017-2020

Wood charcoal production in Latin America and the Caribbean grew for the third year in a row. In 2020, the region produced 8 530 thousand tons of wood charcoal, representing a 1.7% increase from 2019. Between 2017 and 2020, production rose by 14.3%, with an average annual growth rate of 4.6%.

Annual dynamics of production in Latin America and the Caribbean in kind, 2017-2020, K t

In value, 2017-2020, M $ US

The value of wood charcoal production in Latin America and the Caribbean fell for the second consecutive year. In 2020, output was valued at 3 295 million US dollars, down 3.7% from 2019. Over the 2017-2020 period, production value increased by 20.3%, with an average annual growth rate of 6.4%. The highest value was recorded in 2018 at 3 572 million US dollars. The largest decline occurred in 2019 at 4.2%, while the biggest increase was in 2018 at 30.4%.

Annual dynamics of production in Latin America and the Caribbean in value, 2017-2020, M $ US

Exports wood charcoal from Latin America and the Caribbean

Exports in kind, K t

Wood charcoal export volumes from Latin America and the Caribbean declined for the second year in a row. In 2020, exports reached 260.4 thousand tons, a 6.6% decrease from 2019. The peak was in 2018 at 330.8 thousand tons. The largest drop occurred in 2019 at 15.8%, while the biggest increase was in 2018 at 27.5%.

Annual dynamics of product's exports from Latin America and the Caribbean in kind, 2017-2020, K t

From 2017 to 2020, wood charcoal exports from Latin America and the Caribbean were distributed across many partner countries. The United States accounted for 12.1% of export volumes, Italy for 10.3%, and Spain for 9.9%, with these three countries together making up just 32.2% of total flows.

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

World map of product's exports from Latin America and the Caribbean in kind, 2017-2020

Exports in value, M $ US

The value of wood charcoal exports from Latin America and the Caribbean fell for the second consecutive year. In 2020, exports totaled 100.6 million US dollars, down 11.4% from 2019. Between 2017 and 2020, export value increased by 5.7%, equivalent to an average annual rate of 1.9%. The highest value was recorded in 2018 at 141.6 million US dollars. The largest decline was in 2019 at 19.8%, while the biggest increase was in 2018 at 48.7%.

Annual dynamics of product's exports from Latin America and the Caribbean in value, 2017-2020, M $ US

The partner structure for wood charcoal exports in value terms remained fragmented from 2017 to 2020. The United States accounted for 16.8% of export value, Italy for 9.6%, and Spain for 9.6%, with these three countries together representing only 35.9% of total flows, and no single country holding a dominant share.

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

World map of product's exports from Latin America and the Caribbean in value, 2017-2020

Imports wood charcoal to Latin America and the Caribbean

Imports in kind, K t

In 2020, wood charcoal imports into Latin America and the Caribbean totaled 15.5 thousand tons, a sharp decrease of 31.5% compared to 2019. Between 2017 and 2020, import volumes fell by 55.5%, with an average annual decline of 23.7%. The largest drop occurred in 2018 at 49.5%, while the biggest increase was in 2019 at 28.6%.

Annual dynamics of product's imports to Latin America and the Caribbean in kind, 2017-2020, K t

From 2017 to 2020, Indonesia, the United States, and China were consistently the main sources for wood charcoal imports into Latin America and the Caribbean. Indonesia accounted for 12.2% of import volumes, the United States for 3.1%, and China for 1.2%, with these three countries together making up 16.5% of total flows.

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

World map of product's imports to Latin America and the Caribbean in kind, 2017-2020

Imports in value, M $ US

After two years of growth, wood charcoal imports into Latin America and the Caribbean declined. In 2020, imports totaled 27.1 million US dollars, down 14.2% from the previous year. Over the 2017-2020 period, import value increased by 12.4%, with an average annual growth rate of 4.0%. The highest value was recorded in 2019 at 31.6 million US dollars, and the largest increase occurred in 2018 at 24.1%.

Annual dynamics of product's imports to Latin America and the Caribbean in value, 2017-2020, M $ US

From 2017 to 2020, three main markets—Indonesia, the United States, and China—together accounted for 36.3% of the total value of wood charcoal imports into Latin America and the Caribbean.

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

World map of product's imports to Latin America and the Caribbean in value, 2017-2020