A Large Scale Pellet Plant That Can Be Moved?

Making pellets on a large scale has always been seen as the best way to go in terms of making a profitable business. There is no doubt that the larger the pellet plant the lower the operating costs per ton. The efficiencies of scale come into play as less labour is required per ton and also more automated equipment can be used such as robots to stack the bags on a pallet for instance. However this fair in large scale pellet production for wood pellets and other pellets is sometimes blindly followed and can lead to financial issues. For a large scale pellet plant to work you need a constant supply of the raw material as a reasonable price point. Competing markets for your raw material could create issues, as a large scale pellet plant running at less than full capacity is definitely a loss maker. Secondly you need a market of significant size to sell to, many large scale pellet plants today ship their pellets all over the world to find the customers they needs. There in lies the problem for many large pellet plants the costs of transportation effecting the profitability of the plant. As stated a large pellet plant running at less that full capacity is not a good idea, therefore many plants have to find raw materials for further and further a field. This adds cost to the raw material due to the added transportation. Also sending pellets over seas to find customers for the product is often necessary due to the volume of product that needs to be sold and insufficient local demand. However to sell the pellets at a competitive price, often profit margins are hit to cover the increased transportation. Put simply fixed large scale pellet plants often fail to make a profit. Now we have small scale pellet plants which often offer a better solution, however we also have the modular pellet plant. The modular pellet plant can produce very large volumes but can also be easily moved from one location to another. This means putting the plant between the raw material and the customer, reducing transportation and increasing profits. To learn more please visit PelHeat.com for videos.

 

Pellet Mill Guide

The Wood Pellet Production Guide © PelHeat Ltd - A Large Scale Pellet Plant That Can Be Moved?