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Contact Us
t. 604.739.9973
f. 604.739.3144
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Okangan's New Image
Okanagan is about to receive a makeover! It is our pleasure to announce we
are launching a fresh product image. Look out for the release of our new design in the upcoming newsletter. There will be no change internally, just a fresh presentation. |
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Greetings!
As the summer days get shorter, we are reminded that the days of barbecuing along the beach are short lived. The summer is quickly slipping by and signs of fall are all around us. If you haven't already begun to stock up your shelves with Okanagan Pellets then the time could not be any better. We would like to offer you a piece of mind by providing bottom priced Okanagan Super Premium Pellets. Take advantage of our current pre-season low pricing by contacting your sales representative for more information and quotes. Sincerely,
Cypress Pacific Marketing, A Viridis Energy Company |
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The Many Sides of Pellets....
Did you know our pellets can be used in a number of ways? 
Our Okanagan Pellets are made of organic wood fibre which contain no additives and are completely absent of any harmful chemicals, bark and other foreign material. This allows our pellets to be safe for use as horse and animal bedding, cat litter, garden mulch, water absorption, and oil cleanup. Our automated and quality-controlled processes ensure that all pellets made at our facility meet the extensive supper premium standards of the Pellet Fuel Institute. |
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2011 Frigid Forecast
The summer is going by quickly and fall is now just around the corner...have you ordered enough pellets for the rapid approaching winter season? The winter forecast currently is leaning towards slightly colder than normal temperatures for the winter and slightly heavier snowfall. The area located in the mid-Atlantic region which was hit hard last winter with snow is expected to get a break this year with milder conditions. While areas to the north, spanning from the Midwest to Great Lakes region into the Northeast is the heavy snow zone and is expected to receive an above average cold front. Overall, Joe Bastardi, Chief Long-Range Meteorologist from AccuWeather.com predicts the Canadian and American winter will be as harsh as last year's was gentle. |
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Pellets in Higher Demand
We understand there has been speculation of an oversupply of wood pellets stockpiling in the mills due to exceptionally mild temperatures experienced this year. This has lead to expectations of lower prices resulting from the saturation of pellets flooding the market. As a result, consumers are feeling over confident there will be plenty of wood pellets available when the temperatures dip down. However, since the demand for pellet fuel has been muted throughout the summer months, manufactures have decreased their production to 40 percent to avoid holding costs. The remaining 2009 inventory has been blown out. Due to the lower reserve, there are now concerns many suppliers will run into an inventory shortage scenario if customers attempt to stock up their inventory similtaneously.
There has been a steady increase in sales of pellet stoves in the past few years creating growing demand for pellet fuel to feed their stoves. Historically, the popularity of the alternative method of home-heating has led to a shortage. With the oil and gas prices at historical highs and considerable media attention growing on pellet fuel in the mainstream media, the demand for wood pellets has been kicked into high gear. Now that consumers are returning back from holidays to prepare for back-to-school season and the cool winter months, we are seeing a spike in demand. Pellet stove owners in the same region may inadvertently rush the market to stock up their inventory at the same time come September. Fuel shortage is the dreaded scenario that could hamper your sales steady climb. Pellet manufacturers are indicating that they will have enough supply to fulfill demand; yet they will not be able to fulfill it all at once. It is best to prepare yourself in advance for such potential spikes in demand and possible shortages by maintaining adequate inventory levels, while at the same time taking advantage of early season pricing. |
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Market Update
The conditions are perfectly aligned for a massive increase in the sale of wood pellets due to the demand from the U.S. and European countries, availability of fibre, favorable manufacturing conditions, and initiatives from government. Reported in the June 2010 issue of Biomass Magazine, global production has increased from 8 million tons per year in 2007 to more than 13 million tons per year in 2009. With high demand requirements from European and U.S. markets and favorable manufacturing conditions, there is now an expanding market niche which must be fulfilled.
The capacity and consumption has strengthened exponentially in European countries including Sweden, Australia, Finland, Germany, France and Italy. The leading countries which are experiencing the most significant increase in consumption of pellets include Denmark, Belgium, and Norway. With the increasing demand and few providers, apart from Canada and Germany, the market for U.S. dealers is literally exploding. Although Europe is presently the major market of pellets, sales are expanding in North America as interests for non-fossil increase. As stated in Biomass Magazine, the popularity of wood pellets has increased the market share from 2002 through 2006 by more than 200 percent. With the rapid expansion of wood fibre capacity, it is clear the wood pellet market has forever been transformed to a resilient competitive market place and a major competitor for fossil fuels. |
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Comments... Questions?
We value your business and feedback. Please contact us if you have any comments, questions, or ideas for upcoming articles of our news article. Are you an up and coming bio fuel provider in your communtiy? Would you like to be featured in our dealer spotlight? Contact us for more information, or learn more at Viridis Energy |
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