Wood Straw Pellet Production Line in Vietnam

2tph wood pellet plant construction in Bangladesh

This case study examines a wood straw pellet production line in Vietnam, developed to address the growing demand for clean energy in the country while making effective use of agricultural and wood processing residues. Located in the Mekong Delta region, the facility takes advantage of the abundant rice straw, corn stalks, and small-scale wood waste available in the area.

The straw wood pellet production line is designed to produce 15,000 tons of biomass pellets per year, operating 16 hours a day with a two-shift system for 300 days per year, equating to a capacity of roughly 1.0–1.2 t/h. The pellets produced are intended primarily for industrial boilers, small-scale domestic heating, and local energy providers seeking sustainable alternatives to coal and oil.

The total investment for this project is approximately USD 340,000 (Including equipment cost of US$110,000.), including equipment procurement, installation, civil works, utilities, and environmental protection measures. All equipment is supplied by RICHI Machinery, including training and technical support for local operators.

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The client for this straw pellet plant project is a Vietnamese renewable energy cooperative, consisting of rice farmers and small-scale wood processing businesses. Traditionally, rice straw and corn stalks were either burned in the fields or discarded, causing serious environmental issues such as air pollution and greenhouse gas emissions. Similarly, sawdust and wood off-cuts were underutilized.

Motivated by the Vietnamese government’s push for increased renewable energy usage, the client decided to invest in a wood straw pellet production line in Vietnam to:

  1. Convert agricultural residues into value-added biomass pellets.
  2. Reduce environmental pollution caused by open burning.
  3. Generate a sustainable revenue stream for local farmers and the cooperative.

The facility was designed to process a combination of rice straw, corn stalks, and wood residues, producing high-quality pellets suitable for both domestic and industrial applications. The projected annual production of 15,000 tons aligns with both local raw material availability and market demand.

In Vietnam, the availability of agricultural and wood residues is considerable, especially in the Mekong Delta region. The design of this wood straw pellet production line in Vietnam takes into account the seasonal and moisture variations of local raw materials.

Raw Material Types and Supply

The primary raw materials for this project include rice straw, corn stalks, and wood residues from local furniture workshops. These materials are abundant and can be stored in piles for gradual use throughout the year.

Raw MaterialCategorySpecifications/ComponentsAnnual Consumption (t/a)Storage MethodMax Storage (t)Source
Wood ResiduesRaw Material12,000Pile500Local furniture workshops
SawdustRaw Material3,000Pile500Local carpentry shops
Rice StrawRaw Material5,000Pile500Agricultural fields

The project requires careful pre-processing of these materials to ensure uniform particle size and moisture content before pelletizing.

Preprocessing Considerations

  • Moisture Control: Rice straw and corn stalks are dried to 12–15% moisture content.
  • Particle Size Reduction: Straw, wood residues, and sawdust are crushed to 3–8 mm for optimal pellet formation.
  • Blending: Combining wood residues with agricultural residues improves pellet binding, density, and calorific value.

The wood straw pellet production line in Vietnam employs a modern, energy-efficient process, combining mechanical and thermal principles to produce high-quality pellets.

Process Flow

The main production steps include:

  1. Raw Material Collection & Storage – Materials are collected from farms and woodworking shops, then stored in dedicated areas to ensure continuous supply.
  2. Slicing – Large pieces of rice straw and wood waste are cut into smaller fragments using a slicer, while sawdust requires no slicing. Minimal dust is generated and captured via dust collection systems.
  3. Crushing – The sliced materials are fed into a large multifunctional crusher, reducing the size to 3–8 mm. Dust generated is captured by a bag filter and recycled into the production process.
  4. Pelletizing – Crushed materials are conveyed to the wood straw pellet mills. The compression and friction between the rollers and die generate heat (80–130°C), softening fibers and sterilizing the raw materials naturally. No external heating source is needed.
  5. Cooling – The hot pellets are conveyed to storage silos for natural cooling to room temperature.
  6. Packaging – Qualified pellets are weighed, bagged, and stored for distribution.

Pollution and Noise Control

The production line includes dust collection, noise reduction, and solid waste recycling measures:

Production StageMain PollutantsControl Measures
SlicingDust, NoiseDust hood + bag filter, soundproof enclosure
CrushingDust, NoiseBag filter, enclosed system, recycled fines
PelletizingDust, NoiseEnclosed feed system, dust capture, noise insulation

The wood straw pellet production line in Vietnam uses reliable, locally and internationally tested equipment:

NoEquipment NameModel/SpecificationQuantityRemarks
1Large Multifunctional Crusher1Size reduction for straw and wood
2Straw Wood Pellet MillMZLH1Main pelletizing equipment
3Low-Voltage Starter Cabinet1Control for pellet mills
4Slicer1Cutting large straw or wood pieces

Energy management is crucial for efficiency and sustainability. The wood straw pellet production line in Vietnam is designed with careful monitoring of electricity, water, and fuel:

UtilityConsumptionNotes
Water360 t/aMunicipal supply for dust control and staff
Electricity1.4 million kWh/aProvided by local grid
Fuel OilNot used in main process
GasNot applicable
CoalNot applicable
Other

No radioactive or electromagnetic facilities are involved in the project.

Main Engineering and Product Scheme

The wood straw pellet production line in Vietnam is designed for an annual production of 15,000 tons. The production facility includes a pellet mill workshop, raw material storage, finished product storage, and an operational control area.

Workshop/FacilityProduct & SpecificationAnnual ProductionOperating Hours
Biomass Pellet Production LineWood straw pellets15,000 t/a4,800 h/a

Auxiliary and Public Works

The facility uses existing local infrastructure for water, electricity, and waste management.

Engineering TypeFacility NameDesign CapacityNotes
Public WorksWater Supply360 t/aMunicipal supply
Wastewater288 t/aCollected and treated via on-site tanks
Electricity Supply1.4 million kWhSupplied by local grid
Production WorksPellet Mill Workshop1,190 m²On-site facility
Raw Material Storage500 m²Covered storage area
Finished Product Storage180 m²Warehouse
Control Room20 m²Operational monitoring

Labor Requirements

The project employs 12 staff, operating two shifts per day for 16 hours, over 300 days per year.

The biomass pellet production line converts wood residues and straw into high-quality biomass pellets. The main process steps are:

  1. Slicing: Cutting large straw and wood pieces; dust collected via hood + bag filter.
  2. Crushing: Using the multifunctional crusher to reduce material size; dust collected and recycled.
  3. Pelletizing: Compressing and shaping material into pellets; frictional heat sterilizes material naturally.
  4. Cooling: Natural cooling of pellets in silos.
  5. Packaging: Final inspection, weighing, bagging, and storage.

Pollution Control:

  • Dust: Controlled via bag filters at each production stage.
  • Noise: Mitigated through equipment enclosures and operational best practices.
  • Solid Waste: Fines are recycled into production; other minor waste disposed according to local regulations.

Investment Overview

ItemCost (USD)
Equipment & Installation110,000
Civil Works & Facilities80,000
Utilities50,000
Environmental Measures20,000
Working Capital80,000
Total340,000

Revenue and Profit

  • Annual Production: 15,000 tons
  • Sales Price: USD 120/ton (domestic), USD 140/ton (export)
  • Annual Revenue: ~USD 1.8 million
  • Gross Profit: ~USD 1.3 million
  • Payback Period: ~2.5 years

Vietnam has a high potential for biomass pellet production due to:

  1. Abundant Agricultural Residues: Rice straw, corn stalks, and cassava residues provide a consistent feedstock.
  2. Government Incentives: Policies encourage renewable energy adoption and waste utilization.
  3. Growing Energy Demand: Industrial boilers and rural households are seeking alternatives to coal and LPG.
  4. Export Opportunities: Nearby markets in Japan, South Korea, and China offer premium prices for high-quality pellets.

The wood straw pellet production line in Vietnam aligns well with these trends, offering both environmental and economic benefits.

This case demonstrates that investing in a wood straw pellet production line in Vietnam is both economically viable and environmentally responsible. The biomass pellet project leverages local agricultural and wood residues, produces high-quality biomass pellets, and complies with pollution and energy efficiency standards.

By using our straw wood pellet manufacturing equipment, the client ensures reliable operation, low maintenance, and high-quality output, positioning the cooperative as a leading biomass pellet producer in Vietnam. The future outlook for biomass pellets in Vietnam is strong, with expanding domestic demand and export potential, making this project a model for sustainable energy production.

Consultation and Definitions
Design and Engineering
Equipment Manufacturing
equipment testing
Equipment delivery
Operator Training
Wood Pellet PlantWorkshop

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.

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