Wood Charcoal Market

The global wood charcoal market is projected to continue its upward consumption trend, with market performance forecasted to accelerate from 2022 to 2030. The market is set to expand with an anticipated CAGR of +1.8% in terms of volume and +3.3% in terms of value. Key insights include the highest consuming countries such as Brazil, Ethiopia, and Nigeria, as well as major exporters like Indonesia, China, and Vietnam. Import prices and export prices are also analyzed, with China and Japan standing out for their high import prices and Indonesia leading in export volumes and value. Overall, the wood charcoal market is expected to see continued growth in the immediate future.

Market Forecast

Driven by increasing demand for wood charcoal worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to accelerate, expanding with an anticipated CAGR of +1.8% for the period from 2022 to 2030, which is projected to bring the market volume to 63M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +3.3% for the period from 2022 to 2030, which is projected to bring the market value to $35.9B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Wood Charcoal

After five years of growth, consumption of wood charcoal decreased by -0.7% to 55M tons in 2022. Overall, consumption, however, showed a relatively flat trend pattern. Over the period under review, global consumption attained the maximum volume at 55M tons in 2021, and then declined in the following year.

The global wood charcoal market value shrank modestly to $27.6B in 2022, approximately equating the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). The market value increased at an average annual rate of +1.8% over the period from 2012 to 2022; the trend pattern remained consistent, with somewhat noticeable fluctuations being recorded in certain years. Over the period under review, the global market attained the maximum level at $27.6B in 2021, and then contracted modestly in the following year.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were Brazil (6.4M tons), Ethiopia (4.8M tons) and Nigeria (4.7M tons), with a combined 29% share of global consumption. Democratic Republic of the Congo, India, Ghana, Tanzania, China, Thailand, Madagascar, Egypt, Somalia and Zambia lagged somewhat behind, together accounting for a further 35%.

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the main consuming countries, was attained by Somalia (with a CAGR of +3.9%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, Ethiopia ($3.6B), China ($3.3B) and Brazil ($2.9B) constituted the countries with the highest levels of market value in 2022, together accounting for 36% of the global market.

Ethiopia, with a CAGR of +7.7%, recorded the highest rates of growth with regard to market size in terms of the main consuming countries over the period under review, while market for the other global leaders experienced more modest paces of growth.

The countries with the highest levels of wood charcoal per capita consumption in 2022 were Somalia (85 kg per person), Ghana (68 kg per person) and Zambia (67 kg per person).

From 2012 to 2022, the biggest increases were recorded for Somalia (with a CAGR of +1.0%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Wood Charcoal

In 2022, production of wood charcoal decreased by -0.5% to 55M tons for the first time since 2016, thus ending a five-year rising trend. The total output volume increased at an average annual rate of +1.1% over the period from 2012 to 2022; the trend pattern remained consistent, with only minor fluctuations being observed throughout the analyzed period. The pace of growth appeared the most rapid in 2013 with an increase of 3.2% against the previous year. Over the period under review, global production reached the maximum volume at 55M tons in 2021, and then contracted slightly in the following year.

In value terms, wood charcoal production shrank modestly to $28.2B in 2022 estimated in export price. The total output value increased at an average annual rate of +3.1% over the period from 2012 to 2022; the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2013 when the production volume increased by 10% against the previous year. Global production peaked at $29B in 2021, and then declined modestly in the following year.

Production By Country

The countries with the highest volumes of production in 2022 were Brazil (6.3M tons), Nigeria (4.8M tons) and Ethiopia (4.8M tons), together accounting for 29% of global production. India, Democratic Republic of the Congo, Ghana, Tanzania, China, Thailand, Madagascar, Egypt, Somalia and Zambia lagged somewhat behind, together accounting for a further 35%.

From 2012 to 2022, the most notable rate of growth in terms of production, amongst the main producing countries, was attained by Democratic Republic of the Congo (with a CAGR of +2.8%), while production for the other global leaders experienced more modest paces of growth.

Imports

World Imports of Wood Charcoal

In 2022, overseas purchases of wood charcoal increased by 4.2% to 3.2M tons, rising for the second year in a row after two years of decline. In general, imports, however, showed a relatively flat trend pattern. The most prominent rate of growth was recorded in 2018 when imports increased by 26% against the previous year. Over the period under review, global imports hit record highs at 4M tons in 2014; however, from 2015 to 2022, imports stood at a somewhat lower figure.

In value terms, wood charcoal imports rose sharply to $1.8B in 2022. Over the period under review, total imports indicated a resilient increase from 2012 to 2022: its value increased at an average annual rate of +6.5% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +28.0% against 2020 indices. The most prominent rate of growth was recorded in 2018 with an increase of 19%. Over the period under review, global imports attained the peak figure in 2022 and are expected to retain growth in the immediate term.

Imports By Country

In 2022, China (557K tons), distantly followed by Bhutan (148K tons) represented the major importers of wood charcoal, together committing 22% of total imports. The following importers - the United States (138K tons), South Africa (135K tons), Japan (133K tons), Germany (129K tons), Canada (111K tons), South Korea (105K tons), the UK (87K tons), Thailand (86K tons), Poland (84K tons), France (76K tons) and Chile (69K tons) - together made up 36% of total imports.

China was also the fastest-growing in terms of the wood charcoal imports, with a CAGR of +12.8% from 2012 to 2022. At the same time, Bhutan (+7.8%), South Korea (+6.3%), the United States (+6.2%), South Africa (+5.7%), Chile (+5.4%) and the UK (+3.3%) displayed positive paces of growth. Poland experienced a relatively flat trend pattern. By contrast, Japan (-1.2%), France (-1.7%), Thailand (-4.6%), Germany (-6.4%) and Canada (-21.8%) illustrated a downward trend over the same period. While the share of China (+13 p.p.), Bhutan (+2.6 p.p.), the United States (+2.1 p.p.), South Africa (+2 p.p.) and South Korea (+1.6 p.p.) increased significantly in terms of the global imports from 2012-2022, the share of Germany (-3.2 p.p.) and Canada (-34.3 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, China ($181M), Japan ($122M) and Germany ($96M) were the countries with the highest levels of imports in 2022, together comprising 22% of global imports.

Among the main importing countries, China, with a CAGR of +12.1%, saw the highest rates of growth with regard to the value of imports, over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

In 2022, the average wood charcoal import price amounted to $558 per ton, surging by 9% against the previous year. In general, import price indicated resilient growth from 2012 to 2022: its price increased at an average annual rate of +7.3% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, wood charcoal import price increased by +20.2% against 2018 indices. The pace of growth was the most pronounced in 2015 an increase of 67%. Global import price peaked in 2022 and is likely to continue growth in the immediate term.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Japan ($916 per ton), while Thailand ($144 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Canada (+33.5%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Wood Charcoal

In 2022, approx. 3.1M tons of wood charcoal were exported worldwide; increasing by 8.6% against 2021 figures. In general, total exports indicated a notable expansion from 2012 to 2022: its volume increased at an average annual rate of +4.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +14.4% against 2020 indices. The most prominent rate of growth was recorded in 2018 with an increase of 15%. The global exports peaked in 2022 and are expected to retain growth in the immediate term.

In value terms, wood charcoal exports expanded notably to $1.8B in 2022. Overall, exports posted a strong expansion. The pace of growth appeared the most rapid in 2018 when exports increased by 20%. Over the period under review, the global exports hit record highs in 2022 and are likely to see gradual growth in years to come.

Exports By Country

In 2022, Indonesia (528K tons), distantly followed by Vietnam (211K tons), Namibia (201K tons), Lao People's Democratic Republic (186K tons), Paraguay (177K tons) and India (170K tons) were the key exporters of wood charcoal, together creating 48% of total exports. Nigeria (139K tons), Ukraine (126K tons), Poland (119K tons), the Philippines (117K tons), Mexico (98K tons), Cuba (92K tons) and China (91K tons) held a little share of total exports.

From 2012 to 2022, average annual rates of growth with regard to wood charcoal exports from Indonesia stood at +7.9%. At the same time, Lao People's Democratic Republic (+46.8%), the Philippines (+23.3%), Vietnam (+20.7%), India (+18.8%), Namibia (+9.0%), Ukraine (+4.3%), Cuba (+3.6%), China (+3.5%), Poland (+1.8%) and Paraguay (+1.1%) displayed positive paces of growth. Moreover, Lao People's Democratic Republic emerged as the fastest-growing exporter exported in the world, with a CAGR of +46.8% from 2012-2022. Nigeria experienced a relatively flat trend pattern. By contrast, Mexico (-5.7%) illustrated a downward trend over the same period. Lao People's Democratic Republic (+5.8 p.p.), Vietnam (+5.3 p.p.), Indonesia (+5.3 p.p.), India (+4.1 p.p.), the Philippines (+3.8 p.p.) and Namibia (+2.5 p.p.) significantly strengthened its position in terms of the global exports, while Paraguay, Nigeria and Mexico saw its share reduced by -1.8%, -1.9% and -5.3% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Indonesia ($360M), China ($208M) and Vietnam ($111M) appeared to be the countries with the highest levels of exports in 2022, with a combined 38% share of global exports. Lao People's Democratic Republic, Poland, the Philippines, Ukraine, Namibia, Paraguay, India, Mexico, Nigeria and Cuba lagged somewhat behind, together comprising a further 37%.

Lao People's Democratic Republic, with a CAGR of +49.0%, saw the highest growth rate of the value of exports, in terms of the main exporting countries over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices By Country

The average wood charcoal export price stood at $584 per ton in 2022, surging by 3.8% against the previous year. Over the period from 2012 to 2022, it increased at an average annual rate of +5.0%. The growth pace was the most rapid in 2013 an increase of 20%. Over the period under review, the average export prices attained the maximum in 2022 and is likely to continue growth in the immediate term.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was China ($2,287 per ton), while Namibia ($311 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Mexico (+17.0%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform