Philippines Charcoal Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Key Highlights

The Philippines charcoal market generated a value of USD 574.6 million in 2023, and it will increase to USD 681.1 million, powering at more than 2.4% compound annual growth rate, by 2030.

In general, commercial installations as well as households in this nation favor charcoal.

Low-income homes to even upper-income homes demonstrate high volume use patterns of the traditional fuel source.

The sales of barbecue food in the country are also increasing, which utilizes charcoal briquettes or lump charcoal to cook food with a grilled and smoky flavor.

The requirement for such products to generate activated carbon is likely to boost the requirement in the years to come.

The shifting preference of food is a major trend being observed in this industry. The industry is witnessing a substantial alteration in pattern, which is being powered by changing food preferences.

Customers are progressively accepting the procedure of barbecuing and grilling as a part of their cooking choices, which aids the rising need for charcoal for these cooking processes.

The shift is also encouraged by factors such as a cultural inclination toward grilled cooking, rising outdoor dining practices, and increasing social gatherings.

The shifting food preferences are hitting the charcoal industry, which results in a rise in the need for various forms of charcoal for grilling applications.

Market Insights

Lump charcoal was the largest contributor to the industry in 2023, with a 40% share. The largest share is mainly because lump charcoal is pure wood, which is free from binders or petroleum-based accelerants.

The lump charcoal can be refilled without making the acrid smoke that is related to freshly lit briquettes.

The charcoal briquettes category will propel at the highest compound annual growth rate of 3.0% during this decade.

This will be primarily because of their benefits like long-burning time, steady heat output, easy usage, environmental sustainability, and high efficiency.

The cooking fuel category accounted for the largest share of the industry in 2023, of approximately 35% share. The rising need for charcoal as a fuel in this nation is because of its benefits compared to other fuels.

It generates less smoke while burning, has high energy content per unit mass, needs little preparation before actual use, and can be simply transported, stored, and recycled when left over after cooking.

The filtration category will propel at the highest rate of 3.2% in the years to come. This can be mainly because of the increasing consciousness regarding environmental contaminants and the requirement for cleaner water and air resources.

Activated charcoal possesses a versatile nature in directing filtration requirements, which enhances acceptance to the category. It also has excellent adsorption properties, which is aiding the category expansion.

The Philippines charcoal industry is very unorganized. The market is characterized by high-volume production of charcoal by residential consumers for self-consumption, and sales through unregulated market channels to close proximity customers.

Companies operating in this nation are small-to-medium-scale enterprises. In the past few years, they have added green charcoal to their offerings, to efficiently navigate regulatory and environmental constraints.