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FOEX Indexes Ltd is an independent company providing audited, trade-mark registered pulp, paper, recovered paper and wood based biomass price indices.

Sep 11, 2018

Market Comments

PIX Bioenergy - Forest Biomass Finland

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The PIX Forest Biomass Finland index value is based on the July 2018 trading prices of forest residues and wood‐based industry by‐product bioenergy components in Finland, excluding pellets and liquid bio‐fuels.

Prices of emission allowances have increased in the EU. The price of the allowance has now climbed to over 20 EUR/t which is about three times the average price during 2012-2017. The prices of the allowances affect the support level for forest chips; if the three-month average of the allowances increases to about 23 EUR/t, the support will no longer be paid.

Luke reports that the wood trade from the non‐industrial private forests amounted to over 1.9 Mm³ in Finland in July which is an increase from the previous year by 36%. However, the seasonal slowdown in wood trade did decrease the volume from the previous month by 58%. After many months of increasing wood prices, July statistics showed the average prices going down. The energy wood trade in Finland in Q2/18 was 1.2 Mm³. This is 40% more than in Q1/18 and 20% more, y-o-y. Logging residues covered about half of the trading.

July was extremely warm in Finland. After removing the 10% of the extreme values, the PIX Forest Biomass Finland Index kept heading downwards with a decline of 30 cents, or of 1.79%, and settled at 16.43 EUR/MWh.