New pellet production plant built in the south
New pellet production plant built in the south

Brazilian model pellet plant

Domestic manufactured equipment, low price saw mill residue feedstock, 100 pc financing and all production sold at a fixed price makes this new 36 000 t/y Brazilian pellet project a model for the future, says Celso Oiliviera from Biomass Brazil.

“We are building a 36 000 t/y industrial  wood pellets production unit in Santa Catarina to be fed with industrial leftovers like sawdust and dry wood powder. The plant will start its operation in 2014 with an initial annual capacity of 36,000 t/y. A  capacity that may increase already in 2015.”

The entire line of equipment are supplied by the domestic industry and the produced pellets will be of  international quality according to DINplus and also ENPlus certified. Full production is exported to Italy for domestic and commercial heating .

” We have signed an agreement for the acquisition of the entire production with the price of 140 € / ton at plant,  168 € / ton FOB Port generating the value of 230 € / Ton CIF Italy”, says Celso Oilivera.

” This  plant will be a model for Brazil with it’s 100 pc BNDES/BRDE financing”, says Celso Olivera. Brazilian Development Bank (BNDES) and the regional development unit for the far south (BRDE) has recently launched a financing system for micro and small companies.

In this system a manufacturer of pellets will get 144 months with two years grace period and interest rate of 3.5 pc per annum, according to Olivera. Because of using domestic manufactured equipment the plant will have a cost level 3 times lower than otherwise, says Celius Olivera adding that an important factor is the lack of import the import tax of 40.5pc.