Wood Pellet & Biomass
Trade Glossary

Definitions of key technical, certification, and trade terms used in wood pellet export. A reference for purchasing managers and energy buyers.

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Technical Terms

Calorific Value (Heating Value)

The amount of heat energy released when a fuel is completely burned. Measured in kcal/kg or MJ/kg. The key metric for comparing fuels.

Moisture Content

The percentage of water in wood pellets by weight. Lower moisture = higher calorific value. Standard: ≤10%.

Ash Content

The non-combustible mineral residue after complete combustion. Lower ash = less cleaning required. Standard: ≤2% for hardwood pellets.

Bulk Density

Mass per unit volume of pellets in bulk form. Higher density = more energy per cubic meter of storage. Standard: ≥0.65 g/cm³.

Volatile Matter

Components that vaporize when wood pellets are heated. Affects ignition speed and flame characteristics. Typical range: 75–80%.

Fixed Carbon

Carbon remaining after volatile matter and moisture are removed. Determines the char-burning phase of combustion. Typical range: 15–18%.

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Certifications

SVLK (Sistem Verifikasi Legalitas Kayu)

Indonesia's mandatory legal timber verification system. Required for all wood product exports from Indonesia. Verified by accredited independent auditors.

ENplus

European quality certification for wood pellets. Three grades: A1 (residential), A2 (small industrial), B (industrial). Required by most European buyers.

SBP (Sustainable Biomass Program)

Global certification for woody biomass used in large-scale power generation. Required by many European utilities for renewable energy compliance.

FSC (Forest Stewardship Council)

International forest management certification. Ensures wood comes from responsibly managed forests.

PEFC (Programme for the Endorsement of Forest Certification)

International framework for forest certification. Widely recognized alternative to FSC, especially in Europe.

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Trade & Shipping

FOB (Free On Board)

Incoterm where seller delivers goods on board the vessel at the named loading port. Risk transfers to buyer at that point.

CIF (Cost, Insurance & Freight)

Incoterm where seller pays ocean freight and insurance to destination port. Buyer takes risk once goods are on board.

CFR (Cost and Freight)

Like CIF but seller does not provide insurance. Seller pays freight; buyer arranges own insurance.

Bill of Lading (BL)

Document issued by the carrier to acknowledge receipt of cargo. Also serves as a title document for ownership transfer.

Certificate of Origin (COO)

Official document certifying the country where goods were produced. Required for customs clearance in most countries.

Letter of Credit (LC)

Payment instrument issued by buyer's bank guaranteeing payment to seller upon presentation of compliant shipping documents.

Phytosanitary Certificate

Official document certifying that plants or plant products are free from pests and diseases. Required by many countries for biomass imports.

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Industry Terms

Biomass

Organic material used as fuel, including wood pellets, agricultural residues, and energy crops. Classified as renewable energy.

Industrial Boiler

Equipment that converts fuel into steam or hot water for industrial processes. Wood pellets are used as fuel in biomass boilers.

FCL (Full Container Load)

A shipment that fills an entire container. For wood pellets: 1×20' FCL = approximately 18–19 MT depending on packaging.

Wood Pellet

Compressed wood fuel made from sawdust, wood chips, and wood waste. Cylindrical shape, 6mm or 8mm diameter, 3–5cm length.

Metric Ton (MT)

Standard unit of weight for commodity trade. 1 MT = 1,000 kg = 2,204.6 lbs. Wood pellet pricing is quoted per MT.