# Biomass and Timber

Biomass needs timber; their prices have moved together.

Source page: https://www.materialinsights.org/links/biomass-and-timber/

[Biomass](https://www.materialinsights.org/energy/e_biomass/) (energy) and [Timber](https://www.materialinsights.org/commodities/lumber/) (commodity): 2 relationships.

## How they are linked

### 1. Material need

*Physical flow · Direct · Timber → Biomass*

Building or running Biomass needs timber.

### 2. Price link: by-product

*Cost and price · Weak · Both ways*

Sawmills produce wood chips and sawdust, sold as fuel and for pulp. The biomass proxy is a US wood chips index, and shows little link: monthly moves correlate at 0.05 and yearly moves at 0.09, because local energy markets set chip prices.

- **0.05** monthly change correlation
- **0.09** 12-month change correlation
- **-0.47** fitted elasticity

Built from the site data on production routes, energy flows, industry value chains, input-output tables and prices.