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2020-08-28

Wood Pellet Manufacturers Purchase Wood Pellet Machine Cost

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Wood pellets are a type of biomass pellet fuel, which is usually used for combustion, such as power plant combustion, boiler combustion, animal bedding, home heating combustion and so on. The calorific value of wood pellets is similar to that of coal, but it is more environmentally friendly than coal. Developed countries are now increasing their investment in biomass pellets, and more and more people are seeing the huge potential of biomass pellets. What is the investment cost of a wood pellet plant? How much is the cost of wood pellet manufacturing to purchase a wood pellet machine, let's take a look together below.

Wood Pellet Plant
Wood Pellet Plant

Wood Pellet Plant Investment Cost

  • The local raw material costs (including transportation costs)
  • Production energy costs
  • Machine wear and maintenance costs;
  • Other fixed assets depreciation cost;
  • Labor costs
  • Business management costs (including tax, sales, transportation, etc.)

These costs vary from place to place. What we can offer is energy consumption cost. Generally, the energy consumption cost is 110-190kWh/t. It might be slightly different depending on different raw materials and productivity. Expand the production scale can further reduce the cost.

Next, we would like to show a series of data for your reference. The data is depending on pelleting industry in UK.

  1. The local raw material costs (including transportation costs): $24.5~34/t (32.81%~35.50%);
  2. Production energy costs: $5.44~17/t (7.88%~16.40%);
  3. Machine wear and maintenance costs: $8.16~15.64/t (11.8%~15.09%);
  4. Other fixed assets depreciation cost: $1~2/t (1.45%~1.93%);
  5. Labor costs: $10.88/t (10.50%~15.76%);
  6. Business management costs (including tax, sales, transportation, etc.): $19.04~23.12/t (22.31%~27.59%)
  7. Total cost: $69.02 ~ 103.64 / t.

Wood Pellets Price and Profit

In US market, the retail price of small package wood pellets is about $170 / t. The retail price of large package is about $135/t. In Sweden the delivery price is around $150 / t. For loose-packed wood pellets, the FOB in Amsterdam is about $80 / t.

The production cost of biomass pelletization is about $48.78 / t. So there is no doubt that biomass pelletization has great international market competitiveness. Invest in this green energy market is very promising.

Wood Pellet Manufacturers Purchase Wood Pellet Machine Cost

The investment of the wood pellet plant is to choose a wood pellet machine or a wood pellet production line equipment according to the output and budget. A wood pellet machine is inexpensive, suitable for manufacturers with low output and budget. A wood pellet machine production line contains more equipment, such as pellet machines, hammer mills, dryers, coolers, balers, and so on. Suitable for pellet machine manufacturers with large output and large budget. Richi Machinery produces wood pellet machines or wood pellet production line equipment within 200kg/h~100t/h. If you have a need, contact us as soon as possible!

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