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Assured offtake becomes key factor on German waste wood market


Photo: lichtkunst.73 / pixelio.de
28.07.2016 − 

While conditions on the German market for non-hazardous commercial wastes are difficult, the situation on the waste wood market is even bleaker. "Waste wood recovery capacity is a scant resource", a market player summarised the situation at the end of July. The development of the last few months on the waste wood market thus continues unabated.

At least in some regions, market experts speak of a waste management crisis. Others are taking a less dramatic view of the situation and "only" mention significant capacity shortages. The situation in the south and west of Germany especially for grade A IV waste wood appears to be notably more tense than in eastern and northern Germany.

Market experts agree that assured offtake has significantly gained in importance and prices are increasingly becoming less relevant in negotiations on waste wood deliveries. Almost no long-term contracts are being signed on waste wood intake, with contracts generally running for three months.

Amongst waste wood generators, processing yards and biomass power plants there is "a lot of material in the pipeline" and with few exceptions yards and even intermediate storage facilities are reportedly full to the brim. Many processors have temporarily stopped taking in material in order to remain within approved storage limits.

The full report on the waste wood market in Germany including the price table appears in issue 16/2016 of EUWID Recycling and Waste Management on 03 August 2016. Online subscribers can access it here:

Waste wood Germany

 

EUWID Recycling and Waste Management is published fortnightly. The print edition is mailed every other Wednesday, while E-Paper subscribers have immediate access to the digital version of the most recent edition on the day of publication. Subscriptions for faster access to our market reports are also available.

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