Review of solid biofuels market in Ukraine

Today the world’s popular solid biofuel is growing. Many European industrial companies are using this resource to generate heat, as an alternative to gas.In an age when natural energy resources are spent billions of tons throughout the world, when oil products, coal, pollute the environment, where the cost of energy is growing exponentially, it is necessary to look for alternative solutions. That is why more and more developing bioenergy.Ukraine has the potential development of this area. A large number of fertile land and agriculture contributes to an increase in the raw material base for the creation of solid biofuels.Ukraine solid biofuel is manufactured in the form of pellets or pellet, as well as in the form of briquettes. The most popular material for the manufacture of domestic solid biofuel  sunflower processing products, particularly husks. This is due to large areas of plantations of this culture and its high yield. For example, 8387.1 thous. Tons were harvested in 2014, and in 2015 a 32% increase.Most biofuel is exported, and for their own consumption is about 20%. Despite the slow development of bioenergy in Ukraine, production and sale of biofuels in the millions tons. The main activity of manufacturers focused on exports. The general trend in the production of solid biofuels is sustainable growth.In the domestic market there are more than two hundred companies producing solid biofuel in the form of pellets or briquettes. Competition in the market is not great, because the bulk of the export-oriented companies, while another part of the produce biofuels for their own use.Most solid biofuels share is maslopererabatyvayuschie companies that produce fuel from sunflower husks.The top three companies include maslopererabatyvayuschie plants. The company “Cargill” works in the Ukrainian market for over 20 years and the main activity of the company is the manufacture of plant protection products and fertilizers, as well as sunflower oil. And from the biofuel is made of processed products.”Zaporizhzhya Oil and Fat” – a full cycle of processing of raw materials, and produces margarine and fat products Sunflower oil nevymorozhennoe, oil sunflower refined, deodorized, laundry soap, as well as sunflower, husk granular, phosphatide concentrate.The main activity of LLC “Ukrainian Black Sea Industry” is also the production of vegetable oils and fats from processed products which is produced as and biofuels.Foreign trade of Ukraine focus exclusively on exports. Of course, the present and the share of imports in some years, but it is negligible.The main market for Ukrainian solid biofuel is Europe. The main destinations are Poland, Germany, Czech Republic.Pricing for solid biofuels depends on the dynamics of changes in weather conditions, as well as by changes in the gas price and exchange rate fluctuations.
The production of biofuels is a promising direction in the world, and Ukraine is no exception. Dynamics of production of solid fuel from a variety of materials is increasing every year. Accordingly, develops and exports to neighboring countries in Europe. However, the main competitors on the international markets are Russia, Belarus and Poland.The interest of other countries to the solid biofuels, and export development is a determining factor in the development of the market. The domestic market also tends to increase consumption, but this process will largely depend on the willingness of enterprises to refurbish.In the consumer sector, we should not expect a sharp increase in demand for this kind of production, but a significant increase in the exchange rate and the cost of gas can affect the attitude of citizens to alternative energy sources.