In Europe, which is the world’s leading consumer of the organic matter, the demand for peat has been sluggish over the years and continues to remain slow. Countries in the region that relied on peat as an energy fuel for their national energy demand have cut down on their peat consumption to more than 50% and are expected to further bring the volumes down in the near future. Transparency Market Research estimates that the Europe market for peat will exhibit a meagre 0.6% CAGR over the period between 2016 and 2024, generating a revenue opportunity of US.13 bn by 2024, only a slight rise from US.05 bn in 2015.
Hemic Peat to Remain Most Consumed Product Variety
In terms of type, the report segments the Europe peat market into sapric, hemic, and fibric. Of these, the segment of hemic peat dominated the Europe peat market in 2015, accounting for over 45% of the overall market. Hemic is a partially decomposed organic material and often has the look and feel of mature compost. Hemic material has rubbed fiber content of 17% to 40%. The segment is anticipated to retain its dominance over the report’s forecast period as well, owing to the vast usage of this variety of peat in horticulture and agriculture sectors.
The segment of sapric peat closely followed hemic peat in 2015 and is expected to retain its position over the report’s forecast period as well, exhibiting a 0.5% CAGR from 2016 to 2024. The segment of fibric peat is expected to be the least promising product segment over the forecast period, exhibiting a mere 0.1% CAGR from 2016 to 2024. Fibric peat can replace many natural fibres in sustainable manner without having to produce fibre corps on agricultural land. Peat as a fibre helps conserve wood as a fibre for other uses. Fibric Peat possess many anti-bacterial properties, excellent moisture and tolerance. However, the increased inclination of consumers towards other alternatives is expected to drastically affect the overall consumption of fibric peat in Europe over the said period.
Some of the leading companies operating in the Europe peat market are Bord na Mona, Klassmann Dielmann, Vapo Oy, Oulun Energia, and Neova Ab.