UK’s first biomass pellet trading service launches
Elaine Brass
11th January 2010
The UK’s first international trading service for medium to large-scale users and producers of biomass pellets has launched – racking up a million tonnes of supply and demand requests in its first week of trading.
Pellet-Zone Ltd (PZL), based out of Norfolk, has grown out of a pellet manufacturing business, and says the market for buying and selling pellets across Europe is set to grow massively and that a reliable source of biomass pellets is vital for users and producers in the UK. PZL states that it is helping "smooth the supply and price fluctuations" that sometimes frustrate end users and can provide a ready market for pellet producers to assist them with their sales.
PZL is looking for deals that are between the 100 and 100,000 tonnes mark. It buys the pellets from producers and sell them onto buyers and supplies a demand into and intra-Europe.
Steve Garner, who heads up the new trading service, said: “Pellet-Zone is the culmination of our extensive market research in which reliability of supply and consistency in pricing were high up on users' wish lists. With our global footprint and sector expertise we can meet these requirements. For pellet producers we fulfill a vital sales function – enabling PZL to place their pellets into a much wider market whilst reducing unsold stock and associated costs."
PZL says it can trade all forms of biomass pellets, including wood pellets and those made from energy crops such as Miscanthus and Reed Canary Grass. It operates a free, multilingual website where biomass pellet buyers and producers can enter details of their pellet requirements or their availability.
The company also states that it can ensure all the pellets that it trades in are from sustainable and renewable sources and that it lab tests each consignment to ascertain quality control.