The markets for wood pellets, also called pellets, have weathered a storm, oscillating with fierce speculation and mercantile maneuvers. Consumers, already battered by a difficult economic situation, were the collateral victims of this ruthless price war during the winter of 2022.
A spectacular increase
The prices of 15 kg bags of wood pellets have suffered brutal and disproportionate inflation, catapulting their cost from €4 to €15 in certain points of sale. Market participants, influenced by geopolitical turbulence in Ukraine and galloping demand in the face of soaring gas and electricity prices, have navigated troubled waters.
Speculation, an unconfirmed scourge
The shadows of speculation hung heavily over the market. Rumors of stock hoarding and opportunistic maneuvers to maximize profits circulated, fueling controversy and mistrust. Louise Morel, Modem MP for Bas-Rhin, pushed for an in-depth investigation by the Competition Authority, seeking to demystify gray areas and reveal possible market manipulation.
Towards price stabilization
Despite the tumult, prices seem to be regaining a semblance of serenity, showing signs of decline and stabilization. Players in the sector, perhaps scalded by the criticism, have increased production and diversified sources of supply, bringing a breath of fresh air to the asphyxiated market.
Recommendations and perspectives
Faced with this erratic market, voices are being raised to advocate stricter regulation and preventive measures against abuse. The creation of a national pellet industry and the establishment of strategic stocks are envisaged as shields against speculative whims. Consumers and users of ventilated wood stovefor their part, are invited to keep a critical eye and explore various alternatives so as not to be at the mercy of market power games.
The future of the pellet market therefore seems to be taking shape under more lenient auspices, but the echo of speculation still resonates in people’s minds, reminding us of the vulnerability of consumers in the face of market tumults.
