Small Biomass Pellet Plant in Vietnam

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overview

RICHI Machinery is a professional manufacturer of feed equipment, pellet equipment, biomass pellet production systems, organic fertilizer production lines, and cat litter processing plants. In 2024, we completed the design optimization and equipment supply for a small biomass pellet plant in Vietnam with an annual capacity of 2,000 tons.

This project is a compact 400–500 kg/h biomass pellet production line built inside the client’s existing industrial workshop. The plant processes forestry residues, wood processing offcuts, sawdust, and agricultural straw into standardized 25 kg bagged biomass fuel pellets.

The total land area of the project is 500 m². The plant operates 300 days per year, 16 hours per day, with 5 employees.

The total equipment investment for this small biomass pellet plant in Vietnam was approximately USD 65,000, which is well within the typical range for a 0.4–0.5 t/h biomass pellet production line and suitable for small and medium-scale renewable energy investors in Southeast Asia.

0.4–0.5 T/H

capacity

USD 65,000

investment

Vietnam

location

BIOFUEL

project type

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Project Background and Client Profile

Vietnam has abundant forestry residues and agricultural by-products, especially in northern provinces where wood processing factories and plantation forestry are concentrated. Rising fossil fuel costs and increasing demand for alternative solid fuels from brick kilns, food processing plants, and small industrial boilers have created favorable conditions for decentralized pellet production.

The client of this small biomass pellet plant in Vietnam is a local wood recycling and biomass trading operator. Previously engaged in collecting sawdust and wood offcuts from furniture factories, the client mainly sold raw biomass at low margins. In 2024, facing higher transportation costs and fluctuating raw material prices, the client decided to upgrade operations by building a small biomass pellet plant in Vietnam to increase value-added processing.

The objective of the project was clear:

Convert loose biomass waste into high-density fuel pellets
Improve storage and transportation efficiency
Supply local industrial users
Reduce open-air burning of residues
Achieve stable year-round revenue

The project maintains the original design capacity of 2,000 tons per year, matching a 400–500 kg/h production rate.

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Plant Layout and Construction Content

The small biomass pellet plant in Vietnam was built inside an existing steel-structure enclosed workshop with a height of 10 meters. The layout was designed to follow a linear process flow from west to east to ensure smooth logistics and minimal internal transportation.

Main Production Workshop

The workshop includes the following functional areas:

Raw Material Area
Crushing Area
Grinding Area
Pelletizing Area
Finished Product Area

Construction Breakdown

Engineering Category	Unit	Description
Main Workshop	Production Area	3,700 m² enclosed steel workshop
Raw Material Area 1	300 m²	Primary storage & natural drying
Raw Material Area 2	500 m²	Crushed material storage
Finished Product Area	500 m²	Bagged pellet storage
Office Area	150 m²	Administrative office
Utilities	—	Municipal water and grid power

The layout ensures:

Clear separation of raw and finished materials
Efficient forklift circulation
Compliance with fire safety spacing
Compact land use

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Product Plan

The small biomass pellet plant in Vietnam produces standardized biomass fuel pellets packed in 25 kg bags.

Product	Annual Output (t/year)	Packaging
Biomass Fuel Pellets	2,000	25 kg bags

The pellets are mainly supplied to:

Small industrial boilers
Brick and ceramic kilns
Agricultural drying facilities
Food processing plants

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Raw Materials

Vietnam’s furniture and plywood industries generate significant wood residues. Combined with agricultural straw and urban green waste branches, the raw material supply is stable and diversified.

Raw Materials Used in This Small Biomass Pellet Plant in Vietnam

Material	Annual Consumption (t/year)	Source	Moisture Requirement
Forestry residues & wood offcuts	1,800	Wood processing plants	≤20%
Agricultural straw & garden branches	800	Local farms & landscaping services	≤20%

Material Characteristics

Straw: Typically ≤40% moisture at collection; air-dried to ≤20% before processing.
Garden branches: Generated from pruning; stored under roof before crushing.
Wood offcuts and sawdust: Free of paint and glue contamination.

This diversified raw material structure improves supply stability for the small biomass pellet plant in Vietnam.

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Main Production Equipment

Equipment List

No.	Equipment	Model	Quantity	Status
1	Crusher	YZPS-1600	1	Installed
2	Grinder	—	1	Installed
3	Pellet Machine	YZZL850	2	Installed
4	Pulse Bag Filter	—	2	1 Installed
5	Loader	—	2	—
6	Forklift	—	1	—

Capacity Matching

The YZZL850 pellet machine configuration supports 400–500 kg/h stable production. Two units ensure redundancy and flexibility.

Production Process of the Small Biomass Pellet Plant in Vietnam

This biomass pellet project adopts a mechanical compression pelletizing process, without chemical additives.

Process Flow

Raw Material Storage → Crushing → Grinding → Pelletizing → Cooling → Packaging

Detailed Description

1. Raw Material Storage
Materials are stored indoors to prevent moisture increase.

2. Crushing
Large pieces are reduced to 1–10 cm.
Pollution: Equipment noise.

3. Grinding
Material enters enclosed grinder.
Dust is collected by pulse bag filter and discharged through a 15 m stack.
Collected dust is reused.

4. Pelletizing
Material is conveyed via bucket elevator and screw feeder to the pelletizing chamber.
Temperature rises to 50–80°C through mechanical friction.
No binders are added.

Dust generated during pelletizing is collected by hood and treated via pulse bag filter.

5. Packaging
Finished pellets are conveyed to storage silo and packed into 25 kg bags.

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Utilities and Consumption

Utility	Annual Consumption
Water	150 m³/year
Electricity	804,700 kWh/year
Employees	10

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Logistics and Shipping

All equipment for this small biomass pellet plant in Vietnam was shipped from Qingdao Port, China, to Hai Phong Port, Vietnam by sea freight.

Transportation time: 12 days
Installation period: 25 days
Commissioning period: 10 days

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Market Outlook in Vietnam

Vietnam’s growing demand for renewable solid fuel makes the small biomass pellet plant in Vietnam a promising investment model.

Key advantages:

Abundant forestry residues
Expanding wood processing industry
Rising industrial fuel costs
Government support for renewable energy

For small and medium investors, a decentralized pellet plant with 2,000 t/year capacity offers:

Manageable investment risk
Fast ROI (2–3 years)
Stable local demand
Flexible raw material sourcing

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Why Choose RICHI Machinery

Experienced biomass pellet equipment manufacturer
Competitive pricing
Complete turnkey solutions
Overseas installation service
Long-term spare parts support

This small biomass pellet plant in Vietnam demonstrates how compact biomass projects can be economically viable and technically reliable.

If you are considering investing in a small biomass pellet plant in Vietnam or other emerging markets, RICHI Machinery provides customized engineering solutions, practical layouts, and stable equipment performance.

We design systems that match your raw materials.
We build plants that generate stable profit.
We deliver practical biomass solutions worldwide.

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RICHI Service

● Consulting

Customer Consultation

We want to have a deep understanding of your industrial process, to know your exact needs of feed, wood, biomass, fertilizer or other pellet processing.

● Design

biomass Pellet Plant Design

Based on your unique situation and industrial process, we will tailor complete pellet plant you need, and inform you of every additional detail that could facilitate operation, minimize total cost.

● Manufacturing

Equipment Manufacturing

The critical components of the of the complete pellet production line equipment are built in our own workshops in Asia. Additional equipment is manufactured by our worldwide network of reliable partners.

● Testing

Quality Inspection & Testing

Before leaving the factory, all equipment will be inspected by the quality inspection department. We can also provide customers with testing services from a single machine to a complete pellet plant system, and provide you with real actual data for “worry-free use.”

● Delivery

Equipment Delivery

In equipment boxing and packaging, we adopt professional packaging and modular solutions to ensure the safe and non-destructive delivery of pellet plant equipment.

● Installation

Installation & Commissioning

Whether you choose your own subcontractor for the erection phase or you want to install everything together with us, a Richi supervisor will be around to make sure everything is mounted in a safe and thorough way.

● Training

Staff Training

We provide comprehensive training for the technicians of each project. We can also continue to provide support for the technicians during latter project operation.

● After-sales

Project Follow-Up

When everything is up and running our Richiers will help you further whenever needed. We are ready to answer your call 24/7.We’ll also visit you regularly to learn about your needs.

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Who we are

RICHI Machinery is one of the world’s leading suppliers of technology and services for the animal feed, aqua feed and pet food industries, also the largest pellet production line manufacturer in China.

Since 1995, RICHI’s vision to build a first-class enterprise, to foster first-class employees, and to make first-class contributions to society has never wavered.

In the past three decades, we have expanded our business to a wide range of areas, including animal feed mill equipment, aqua feed equipment, pet feed equipment, biomass pellet equipment, fertilizer equipment, cat litter equipment, municipal solid waste pellets equipment, etc.