German waste wood market somewhat calmer now

Germany's waste wood market is a little less tense at the moment, following extreme movement in prices at the start of the year. "The really intense demand is gone," one observer remarked. That being said, a majority of market players believe that waste wood arisings have still not returned to the levels ordinarily seen at this time of year. The usual post-Easter easing of supply had failed to materialise, according to the latest EUWID market report.

All in all, EUWID market contacts agreed that inventory building is possible only to a very limited degree, if at all, at the moment, and available stocks had been depleted with seemingly just a few exceptions. Even upcoming maintenance work at biomass power plants scheduled for the next few months was not expected to bring relief, the bulk of market players believed. They anticipate that waste wood that is not combusted over that time period will be set aside to build up inventories.

In addition, competition for volumes is intensifying in the catchment areas of new power plants, leading to more uncertainty and unrest on the market.

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