Firewood Market Size, Share, Industry, Forecast and Outlook (2024-2031)

Global Firewood Market  By Wood (Log Wood, Wood Chips, Pellets, Forestry Residues), By Distribution Channel (E-Commerce, Supermarket/Hypermarket, Specialty Stores, Others), By End-User (Residential, Commercial (Food Service, Power Production, Others)), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2023-2030

Firewood Market Overview

Global Firewood Market reached US$ 951.2 million in 2022 and is expected to reach US$ 1459.7 million by 2030, growing with a CAGR of 5.5% during the forecast period 2023-2030.

Rising energy costs and a desire for more self-sufficiency have driven the demand for alternative heating solutions, including wood-burning stoves and fireplaces. In December 2020, 143 households from 20 villages in Myanmar participated in household interviews. For each household, per capita consumption rates were estimated. Approximately 85% of the sample families cooked using firewood. For homes that only used firewood for cooking, the average annual per capita firewood consumption rate for cooking was 530 kg.

There has been a growing emphasis on sustainability and renewable energy sources. Firewood is recognized as a renewable energy source, drawing consumers seeking eco-friendly heating alternatives. Rising climate change concerns and carbon emissions awareness have shifted focus towards firewood as a greener option compared to fossil fuels. This trend reflects a growing commitment to reduce environmental impact through sustainable heating practices, aligning with global efforts to combat climate change.

Residential use plays a significant role in the firewood market. Many households choose firewood as a heating source, especially during the colder months. Europe holds a significant share of the global firewood market due to the long tradition of using firewood for heating and a strong emphasis on sustainable and renewable energy sources. Almost half of residents in Russia's Chita region and Buryatia use firewood to heat their homes (45–46%).

Firewood Market Scope and Summary

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Firewood Market Dynamics and Trends

Increase in Growth of the Camping Industry

The growing camping industry drives the growth of the firewood market. According to a report from the North American Camping Club (April 2022), camping constitutes 40% of leisure travel trips in North America, with 36% of individuals camping annually. Campfires are a cherished component of camping, providing ambiance and social connection. As the camping industry expands, so does the need for firewood to fuel these campfires.

Campgrounds and hospitality establishments often sell firewood to campers and guests as an additional source of revenue. This practice can boost the firewood market as these businesses seek reliable suppliers to meet the demand. Many campers and outdoor enthusiasts are environmentally conscious and seek eco-friendly options. Firewood, when sourced sustainably, can be marketed as a renewable and carbon-neutral energy source, aligning with the preferences of eco-conscious campers.

Growing Demand for Sustainable and Renewable Energy Sources

Increasing awareness of environmental issues, like climate change and air pollution, has caused a shift towards cleaner and more sustainable energy sources. For instance according to the World Bank, in 2020 renewable energy consumption was 19.77% of total energy consumption. Firewood is eco-friendly and considered renewable due to its ability to replant trees, aligning with global efforts to combat climate change by reducing carbon emissions.

Firewood is considered carbon-neutral when sustainably sourced and efficiently burned, meaning the CO2 emissions from burning it roughly match the CO2 absorbed by trees during their growth. This carbon neutrality is a significant advantage and selling point for firewood as a renewable energy source.

 Competition from Alternative Heating Sources

Alternative heating sources like natural gas, electricity, and pellet stoves are often more efficient and convenient than traditional wood-burning methods. They offer precise temperature control, require less maintenance, and can be easier to operate. This makes them attractive options for consumers who prioritize ease of use.  In Germany, heating oil is used in 25% of residences and natural gas in close to 50% of them. Less than 6% of people utilized firewood in the past.

Many urban and suburban areas have implemented restrictions or bans on wood burning due to concerns about air quality and particulate emissions. These regulations limit the use of firewood in densely populated regions, reducing its market potential.

Firewood Market Segment Analysis

The global firewood market is segmented based on wood, distribution channel, end-user and region.

Rising Use of Firewood in Residencial Purposes

Firewood is commonly used in residential settings for heating homes during the colder months and for cooking. In February 2023, during the launch of Taifa Gas in Dongo Kundu, Mombasa County President William Ruto said at least 70% of Kenyans use firewood to cook for their families. In rural areas, firewood is used as a traditional and reliable source of heat, often used in wood-burning stoves, fireplaces, and outdoor grills.

Many homeowners appreciate the ambiance and aesthetics of a wood-burning fireplace. The crackling sound of the fire and the warmth it provides create a cozy and inviting atmosphere in residential spaces. Firewood is often more cost-effective than other heating options, particularly in areas with abundant wood resources. This cost advantage makes it an attractive choice for residential users looking to manage their energy expenses.

Firewood Market Geographical Penetration

Europe’s Long History of Using Wood

In Europe, the longstanding tradition of using wood for heating, cooking, and construction has created a sustained demand. Wood's historical and widespread availability has made it a traditional and reliable energy source in many European countries over centuries. According to the United Nations Economic Commission for Europe, in 2021, countries in the European Union (EU) burned roughly 23.1 million tonnes of wood pellets. This tradition of using wood in turn drives firewood market growth in that region.

In many European countries especially in colder regions firewood serves as the primary source of residential heating, with wood-burning stoves and fireplaces being widely used for warmth and ambiance. European nations are known for leading the way in sustainable forestry practices, ensuring responsible wood harvesting and environmental conservation. Many nations in Europe have stringent regulations and certifications to ensure that the harvesting of wood for firewood is done responsibly, thereby promoting a positive environmental image.

Firewood Market Companies

The major global players include Woodmill, VliTimber, Norestven, JB Firewood, Pinnacle Firewood Company, Cutting Edge Firewood LLC, Wilson Enterprises, Inc, Lost Coast Forest Products, Arizona Log & Timberworks, FIREWOOD FUEL MK

COVID-19 Impact on Firewood Market

The firewood industry, like many others, experienced supply chain disruptions. Lockdowns and restrictions affected the transportation and distribution of firewood, leading to shortages in some areas. Economic uncertainty caused by the pandemic led some consumers to cut back on non-essential expenses, potentially reducing the demand for firewood for recreational or aesthetic purposes.

Labor shortages in some regions, often due to pandemic-related restrictions or health concerns, may have affected the production and harvesting of firewood. Businesses catering to the tourism and hospitality sectors, including campgrounds and resorts, faced significant challenges due to travel restrictions and reduced tourism. This resulted in lower demand for firewood in these commercial settings.

Russia- Ukraine War Impact

The war in Ukraine had a severe impact on the global timber markets further impacting the firewood market. Russia, a major supplier of wood products, faced sanctions after invading Ukraine, which led to its exclusion from key wood product markets like the European Union, the United States, and Japan. This unprecedented situation disrupted the global timber industry.

The war disrupted transportation routes and trade between Russia and Ukraine, it affected the supply of firewood in the region. This disruption could lead to shortages and price fluctuations, particularly in areas that rely on imports of firewood. For instance, Russia's war is changing wood pellet market dynamics in Europe, with prices tripling in 12 months.

Key Developments

• In March 2022, The Greater Chennai Corporation introduced a modernization drive to convert the firewood-based crematorium to an LPG-based system.
• In September 2022, Minister of Energy, Mines and Resources John Streicker introduced a new firewood rebate to help Yukoners who purchase firewood to heat their homes. The rebate, which is open to Yukon households, offers $50 for every cord of firewood bought, up to a maximum of 10 cords, to help with the expense of home heating.
• In September 2023, The Government of Yukon and the Canadian Northern Economic Development Agency (CanNor) introduced a new support program offering funding for commercial harvesters and retailers. This program will assist retailers and commercial timber harvesters in lowering obstacles to bringing more firewood to market.

Why Purchase the Report?

• To visualize the global firewood market segmentation based on wood, distribution channel, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of firewood market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The global firewood market report would provide approximately 61 tables, 58 figures and 181 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies