Wood pellet prices in Germany rose 2.3% in October to reach their highest level since the start of the year, with the country's pellet institute pointing to reduced sawmill by-product availability as a key factor behind the sustained increase.
The national benchmark price for a six-tonne delivery of ENplus A1 pellets reached 464.61 euros per tonne in October, up 10.40 euros from September's figure of 454.21 euros per tonne, according to the Deutsches Pelletinstitut (DEPI). The October increase follows a sharper 6.2% rise in September, suggesting upward pressure on prices has eased but not reversed.
For larger 26-tonne deliveries, the national average stood at 448.45 euros per tonne. Both benchmarks cover delivered prices including VAT within a 50 km radius.
DEPI attributed the price trend to a tight wood market, noting that pellets are manufactured largely from sawmill by-products. Weak demand for sawn timber has led some mills to reduce output, leaving fewer residues available for pellet production.
The benchmark has risen substantially since mid-year, climbing from 376.77 euros per tonne in June to October's 464.61 euros — an increase of more than 23% in four months.
Regional variations remain modest. For six-tonne orders, central Germany is the cheapest of DEPI's three reporting regions at 462.84 euros per tonne, followed by north/east Germany at 464.93 euros and southern Germany at 466.81 euros. The gap widens for 26-tonne orders, where north/east Germany is lowest at 442.83 euros per tonne and the south highest at 451.23 euros.
DEPI said pellet heating remains cheaper than heating oil and natural gas under its October comparison assumptions.
