Pellet prices continue to rise. Prices have risen by around 50 euros since December. In January alone, wood pellets became almost 30 euros more expensive. These are the highest pellet prices since February 2024.

Pellet prices have been rising steeply since December. At the end of the second week of January 2025, wood pellets cost as much as they last did in February 2024 - around 11 months ago. Pellet prices have also risen sharply this week. In November 2024, pellet prices had fallen to their lowest level in 3 years. Since then, the price of wood pellets has risen sharply.

The expectation of many pellet buyers that pellet prices would fall again at the end of 2024 has not been fulfilled. On the contrary! In January, fewer and fewer pellet buyers still believe that prices will fall soon. This is clearly reflected in the purchasing behaviour and market assessment of pellet customers: On the specialist portal Holzpellets24, 55 per cent of potential pellet buyers believed at the end of the second week of January that they should still hold off on buying. At the same time, 45 per cent of pellet buyers are of the opinion that it is better to buy despite the rising prices.

However, pellet buyers' expectations of a short-term price drop have recently increased again somewhat. According to the data from Heizpellets24, purchasing activity is only ‘low’. This is despite the fact that we are in the middle of the heating season and delivery times are just under 21 days.

At the end of the second week of January, prices for loose goods in Germany were 294 euros per tonne. That is 12 euros more than at the beginning of the week and almost 40 euros more than four weeks ago. The reference figure is a total purchase quantity of 6,000 kg of certified wood pellets plus a blow-in fee, say the experts at the specialised portal Heizpellets24.

For the same purchase quantity, buyers currently have to pay around 4 per cent more for bagged goods than for loose pellets. The national average price there is around 305 euros per tonne, which is only 11 euros higher than for loose goods and only slightly higher than four weeks ago.

Source: nsw.gov.au