Serbia banned the export of pellets

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Serbia temporarily banned the export of pellets and limited its price in order to fight the world energy crisis.

“The decree on limiting the price of pellets, which was adopted with the aim of protecting the energy security of the Republic of Serbia, and which will be in force 90 days from the date of entry into force, stipulates that the maximum retail price of pellets must not exceed 38,000 dinars per ton in all packages “, the Government of Serbia stated in a statement.

Producers have been complaining for months that there is not enough wood on the market to produce pellets, for which they blamed JP “Srbijašume”. That public company stated that the delivery was delayed because, due to the prolonged duration of winter and snow, it was impossible to start cutting wood before the first of April.

In a statement, the government added that it decided to take these steps in order to prevent a shortage of pellets “due to increased exports and the population’s need for supplies caused by the crisis on the world energy market.” The measures will last 90 days, i.e. until the first of November.

However, experts previously told Bloomberg Adria that there is not enough pellet even for the domestic market.

Despite this, the latest regulation foresees a system according to which the Ministry of Agriculture, Forestry and Water Management will issue special permits for the export of logs. In addition, the government allowed Srbijašume to increase the prices of its products by 15 percent.

The previous decree, which expired at the end of July, also prohibited the export of pellets, but at the time Bloomberg Adria’s interlocutors said that no export ban was being considered, Bloomberg Adria reports.