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Southern Forest Industry Braces for Bioenergy
New Study Details the Impacts of Emerging Biomass Markets
Emerging biomass markets will significantly strengthen demand for wood
fiber in the South, driving prices higher for forest products as the United
States turns to alternative fuels for energy, according to a study released
Monday by Forest2Market.
The new demand will be fueled by wood-burning power companies that produce and
sell electricity to public utilities, as well as an increasing amount of wood
pellets that are exported to European energy markets. The development of new
facilities that turn biomass into cellulosic ethanol for transportation fuel
will also impact the forest products industry.
As a result, demand for wood fiber from these emerging markets is expected to
climb from 2 million tons in 2008 to at least 13.5 million tons in 2020,
according to Forest2Market, a provider of pricing information and analysis for
forest products. However, the estimate is conservative, and it could be adjusted
higher as more companies ...
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