Are you thinking about investing in biomass pellet manufacturing? If you are, then it’s a great decision. This is because the biomass wood pellet energy industry has grown a lot in the past few years. Investing in a biomass pellet plant that produces almost 1-20 tons per hour is a profitable business.
Starters for Biomass Pellet Manufacturing
To invest in the biomass pellet, there are a few things you should know.
First, you have to survey the local market to understand the scope of the pellet manufacturing business. Find out if there is a high demand for wood pellets in your area.
Secondly, find out if there is any competition around you.
After that, you have to find out how to build a wood pellet production line. Once you are done with all these steps, there comes finance. You need to understand that you need the largest investment to start a business in this industry.
You need to collect sufficient funds to make your start in the biomass wood pellet industry.
Biomass Pellet Production Plant
Pellet production depends on the end user’s demand. You will have different levels of demands, for which you need different production systems for pellet production.
There are also many methods for pellet production. You also have to choose among different raw materials like biomass, wood, sawdust, and so on. Let us discuss in detail the different biomass pellet fuel production plants.
Small Pellet Mill Unit
A small pellet mill is a unit that produces units less than 800 kilos of pellets per hour. We call them the flat die producers. They are suitable for rural industries that are decentralized. These industries supply fuel to residential energy systems or are involved in feed production.
Such small units are beneficial for individual farmers or end-users, too. You can produce pellets of different sizes of 4, 6, 8, 10, 12mm, or other customized diameter.
Such small units tend to save both your time and labor costs. You can run these units on diesel and electricity. They are easy to operate and do need little installation space. The Die-turned pellet mill is useful for feed material, agricultural waste, and softwood. The Roller-turned pellet mill is more useful in making pellets from hardwood.
Large Scale Pellet Mill Unit
Large-scale pellet mill units are suitable for the industrial production of pellets. You can use hardwood and softwood as raw material. In addition to wood, you can also use different raw materials like palm fiber, coconut shell, peanut shell, straw, sugarcane bagasse, stalk, etc. can also be compressed.
In large units of pellet mills, there are two further types. An average large unit tends to produce 1-30 tons of pellets per hour. Then, there is the very popular mobile pellet plant. You can move it from place to place and use it. This is a more wide option where you can take advantage of scattered sources.
Conditions For Investment
There are 3 more important conditions you need to make a profit from the pellet production business.
- Excellent equipment
- Abundant raw material
- Plenty of capital
These three things must be true if you want to invest in this wood pellet production plant to make money. To make money, you need a lot of raw materials. However, you can’t make money without them. Production can’t be stable without the right tools.
Even the simplest production line needs the right power set, the main engine, and moving equipment. Not to mention the big line of things that need to be made, it gets more difficult as more tools are added.
Stages for Investment in Pellet Production Line
To make a profit from the making industry, you can divide the investment into 3 stages.
- Pre-preparation stage
- Equipment inspection stage
- Production and sale stage
1. Pre-Preparation Stage for Investment
This is the stage where you know nothing about the biomass pellets industry. You have heard about it from somewhere, maybe from a friend, or you have a need for it. At this stage, what should you do?
First of all, you need to learn about the raw material, the pellet plant, energy sources like electricity, the market for this business, and your investment budget.
- The high barrier to entry in this industry is the main reason why it is ranked first. The smallest full wood pellet production plant costs more than 100,000 RMB. You should look at another project if you don’t have that much money. What is said to have been done with 50,000 or 60,000 is not true.
- Wood pellets can be made from a lot of different things, like corn straw, wood chips, acacia, pine, bamboo sawdust, rice husk, furniture factory scraps, and building models. Key things to look at when inspecting raw materials are their types, sizes, levels of wetness, and amounts.
- The first review is meant to see how big the plant can be.
- You need to check to see how much power the transformer can handle. The pellet plant’s lowest power level is 77kw, which some transformers could not handle. Also, keep in mind that KVA is the measure of the transformer.
2. Equipment Inspection Stage
After the inspection of the raw material, plant, and electricity, the pelletizer equipment will be inspected.
- The equipment is decided by the raw material. The equipment is different according to the materials and production processes. Looking for several plants and explaining the conditions to get plans freely.
- Select a reliable factory. Look for more and visit the fields. Carry the material for the test if it’s necessary.
- Don’t be greedy for cheap price machines. With buying good equipment, the price difference can be earned back very soon. Otherwise, the bad equipment may cause a loss of money.
3. Production and Scaling Stage
Everything has been done to make money, but something needs to be looked at more closely.
- Take the time to learn how to use the tools properly. After the sale, all standard companies offer training.
- Pick smart, hardworking people to go through the training, as there is a big difference between users who can and cannot use it.
- When two people use the same tools, one can get 3 tons of work done in an hour, while the other can only get a few hundred kilograms done in an hour because their tools are broken.
Conclusion
A pledge to a sustainable future is made when you invest in a biomass pellet production line. Now that you know the most important things, you should look into providers, talk to experts, and use your investment to make things better. Your biomass business isn’t just an investment; it’s a step toward a better, cleaner past. Make plans for the future right now.