According to Timcon, growing forest inventories are leading to an increased growth in the biomass market and more subsidisations, but the subventions have “distorted the market” and led to a shortage of wood for industry.
“As pioneers in the development of bio-energy, the woodworking industries support its further development but cannot accept that their future supply of raw material might be jeopardised by massive support and subventions to the energy sector,” said John Dye, TIMCON president.
“In many parts of Europe, this subvention policy has strongly distorted the market for wood raw material and created shortages for industry, despite the theoretical availability of wood in the forests.”
Demand from China and eastern Europe is leading the increase in use of wood for fuel, TIMCON has said.
