Wood Recycling Project Report



You can immediate download the Wood Recycling Manufacturing Business sample project report format template, in MS excel or word / pdf format.

These reports will help you prepare a project report as per your objectives. This report will also be helpful in studying the project and gathering information about the project.

Trees play an important role in both our personal and domestic lives. Every day, we use things made from wood; there are over 5000 products made from trees. Tree-based chemicals and other wood by-products are all around us, from toothpaste to tyres. Shade, oxygen, fruit, nuts, and wood goods such as paper, furniture, and houses are all provided by them.


The process of converting discarded wood into usable items is known as wood recycling or timber recycling. Recycling lumber became popular in the early 1990s when issues like deforestation and climate change led both timber producers and customers to seek a more sustainable source of wood. Recycling lumber is the most environmentally friendly method of producing wood, and it is highly prevalent in nations like Australia and New Zealand, where ancient wooden constructions are plentiful. Wood chips can be made from chipped timber and used to power homes or power plants.

Wood is a squandered resource in landfills. The need to cut down trees is reduced by reusing and recycling wood. Wood can be repurposed as a building resource, recycled into landscape mulch or pulp for paper production, and utilised as a fuel.

For a few years, India’s plywood and furniture industries have been rising at a rapid pace. The Indian furniture industry is worth roughly Rs.120000 crores (USD 20 billion), employing over 300000 people and growing at a 30 percent yearly rate. It should be emphasised that the wood and wood-based industries play a critical part in the Indian economy’s strong growth. Because India is one of the leading wood-users in the Asia-Pacific region, the wood, plywood, furniture, and other wood products industry is one of the important industries that benefit greatly from these advancements.

Indian plywood business is around INR 222.5 Billion , and the business is growing at the speedy pace of 5.80% per annum.

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Market potential

The global wood recycling market will expand by USD 4.53 billion at a CAGR of above 5% from 2021 to 2026. Some of the reasons projected to drive market expansion include the growing usage of biomass fuels and decreased investments in the coal industry. The market study examines the industry in detail by material (paper and cardboard and scrap wood) and geography (the Americas, APAC, and EMEA).

Recycling discarded wood products to create end-products for similar or different purposes is known as wood recycling. Wood recycling will reduce the number of new trees cut down to make wood-based products, lowering deforestation rates and greenhouse gas emissions.

The worldwide wood recycling market is expected to grow at a CAGR of 5 percent during the forecast period. Increasing usage of biomass fuels, rising urbanisation and literacy rates, and rules for decreasing GHG emissions and using bioenergy in heating systems are all pushing the market.

Benefits of wood recycling


The first and most significant advantage of wood recycling is that it saves trees. Trees take a very long time to mature, even after they have been replanted to replace those that have been taken down, so the less we cut down in the first place, the better. Wood recycling also helps to lessen the environmental effect by preventing waste from ending up in landfills, resulting in less contamination of the air and water. Wood recycling is an excellent strategy for preserving the natural state of the environment.

New opportunities

Wood recycling opens up new possibilities in response to shifting customer demand for recycled goods. One of these is biofuel, which is a rapidly growing source of sustainable energy. Industrial wood waste, such as wood scraps and sawdust from target manufacturers, pallet recyclers, and lumberyards; forest harvest and primary forest products; industry wood residues, and urban tree waste; and municipal solid wood waste, which includes wood wastes disposed or recovered from the municipal solid waste stream, such as construction and demolition debris; and municipal solid wood waste, which provides for wood wastes disposed or recovered from the municipal solid waste streams, such as construction and demolition debris.

Saving money

Wood recycling can help you save money on your energy bills. We use energy to collect and process virgin resources, including burning fossil fuels when we produce new goods. Recycled-materials-based products eliminate the demand for virgin resources, saving money and reducing the energy necessary to collect and process such materials. Wood recycling also costs less than landfill disposal, even when factoring in machinery operation costs, transportation, labour, and tipping fees.

Reduced Landfill

The more wood recycled, the fewer pieces of wood end up in landfills. Not only does the wood find a new function, but it also helps to reduce landfill waste and its detrimental impacts. Landfills are well-known for polluting the local environment with air and water pollution.

We are quite proud of our commitment to minimising the amount of waste in landfills at ETM Recycling. Our cutting-edge MRF is a zero-waste-to-landfill facility, and we work hard to keep our output to a bare minimum.

Reduced Spend on Material Processing

When making things, producers can save a lot of money using recycled materials. The extraction and processing of virgin materials require more energy, but much of this has already been done with recycled resources. Manufacturing paper from pulped recycled paper, for example, consumes 40% less energy than making it from virgin wood fibres, resulting in significant energy savings.

Fire Risk

The presence of large amounts of wood waste on the site could be hazardous if a fire broke out. Waste, especially flammable items like wood, must be appropriately managed and disposed of. For assistance on how to properly dispose of rubbish, contact a professional waste management agency.

Other Uses

Recycled wood has a wide range of applications, making it an excellent material to recycle. Several relatively simple techniques to repurpose and recycle wood do not necessitate extensive treatment or multiple specialised processes.

Procurement of used wood

Demolished buildings, bridges, and wharfs are the most common source of recycled wood, methodically stripped out and placed aside by demolishers. At the same time, any dimension stone that can be reused is set aside. The rescued lumber is then sold to merchants, who re-mill it by manually scanning it using a metal detector, which allows the wood to be de-nailed and sawn to size. The timber is typically marketed to customers as flooring, beams, and decking after re-mills.

Uses of Recycled wood

Recycling wood is not only good for the environment, but it also saves money for the wood business. It contributes to the preservation of trees and the cleaning of the environment. Some Benefits are as follows:

  • They have wooden floors in their houses and offices because they are attractive and help keep the heat in.
  • When flooring is constructed from recovered waste wood, it is not only attractive but also cost-effective.
  • The advantage of recycled wood is that it is environmentally beneficial.
  • It is unnecessary to cut down trees to develop the same; instead, it is only repurposing the old ones that others have rejected.
  • Recycled wood is more durable than virgin wood.
  • You can be confident that reclaimed wood has nearly little moisture content because it has been dry for a long time, making it exceptionally hard and robust.
  • Lower moisture content equates to more excellent durability.
  • We can save money on both raw materials and operations by recycling wood.
  • Panelboard mills benefit more from wood recycling when producing chipboard, middle-density fibreboard, and higher-value fibreboard.
  • The recycling systems assist in reducing wood waste and conserving wood resources, which is more environmentally beneficial.
  • One of the most significant advantages of waste wood recycling is that it reduces the space that wood would otherwise take up in landfills.
  • Companies embraced an environmentally beneficial and business-minded approach by developing waste wood recycling.

Wood Recycling is important

Because garbage has such a severe impact on the environment, recycling is essential. In landfill sites, hazardous chemicals and greenhouse gases are discharged—recycling aids in trash pollution reduction. Deforestation has many negative effects, including habitat destruction and global warming.

Wood recycling machines are described in detail.

For an automatic wood recycling unit, the following machinery is required:

  • Shredder
  • Conveyor belt
  • Grinder
  • Hopper
  • Waste separator

The following additional machines are required:

  • A JCB crane is used to load waste wood into the separator (entrepreneur can take it on rent due to significant investment).
  • Transformer required due to a power supply of greater than 50 kilowatts.

Note: On the other hand, wood recycling can be done manually using a hammer, and this method is used to generate wooden pellets that can be utilised in industries.

Manufacturing Process

  • Wood recycling is the process of grinding waste wood into chips and using them to manufacture new items that contain no pollutants or dangerous elements such as glue, lead paint, asbestos, or creosote. Recycled wood is diverted from landfills, which reduces the number of new disposal sites required. The procedure is simple to follow.
  • Fill the hopper with waste wood that contains rock, soil, or metal so that it may be conveyed to the trommel screen, where little bits fall through, and large ones fall into a water bath.
  • Using an upper conveyor belt partially positioned below the water’s surface, separate floating wood in the water bath. Convey the floating wood to the front of the classifier using a conveyor.
  • Move the heavier waterlogged wood and rock from the bottom of the wood bath to the back of the classifier for disposal using a lower conveyor.
  • Using a front-end loader, remove the wood from the front of the classifier. To remove any metal from the mix, exposing the wood to industrial magnets.
  • Transfer the material to a tub grinder, a horizontal grinder, or a wood chipper. Particleboard, chipboard, pulp and paper goods, animal bedding, mulch, biomass fuel, and compost will benefit from the wood being ground into chips.

Legal and funding

Try setting aside money for a specific goal or asking family and friends for help. Obtain long-term loans with low-interest rates from commercial or trade banks. Find out how to register a business name, obtain a personal tax identification number, and obtain state permissions. There are environmental safety regulations to follow, as well as insurance concerns.


  • Register a business name
  • personal tax identification number
  • state permits
  • environmental safety protocols
  • insurance


  • Target savings
  • bank loans
  • venture capitalist
  • partnership funding
  • crowdfunding
  • core investor


Quality products are self-evident. Proper marketing, on the other hand, will skyrocket sales. Make use of billboards, signs, business cards, and pamphlets. Create a website, place ads in local publications, and organise local events. 

Key Points Cover in Sample Project Report 

Table of Contents

Sr. No.Particulars
1Purpose of The Document
3Benefits of Wood Recycling
4Procurement of Used Wood
5Uses of Recycled Wood
6Why Wood Recycling Is Important
7Recycled Wood Market Analysis
8Description of Wood Recycling Machines
9Manufacturing Process
10Machinery & Equipment’S Required
11Land &Building Required
12Labour & Staff Requirement
13Wood Recycling License &Registration
14Implementation Schedule
15Cost of Project
16Means of Finance
17Computation of Production
18Computation of Sale
19Break Up of Labour Charges
20Break Up of Staff Charges
21Utility Charges
22Projected Profitability Statement
23Projected Balance Sheet
24Cash Flow Statement
25Computation of Working Capital Requirement
26Mpbf 2Nd Method
27Mpbf 3Rd Method
29Calculation of D.S.C.R
30Repayment Schedule of Term Loan

Apart from this, all the information is being provided. To help in preparing project reports.

Q&A (Questions/Answers)

Why is the business lucrative?

The company is both prosperous and environmentally conscious. To lease landed space, machinery, and personnel, an operator will need a moderate amount of capital.

Low-tech, low-skilled labour, abundant raw resources and large profit margins are all advantages. The disadvantages include significant capital investment and high labour costs. Industrial wood waste, construction trash, and discarded or outdated furniture are all examples of common wood waste.

Pros: low-tech, low-skilled labour; plentiful raw resources; large profit margins.

Cons: a significant financial investment, labour prices are high, and government regulations are rigorous.

You can get more information about recycling business by reading our article Top 15 Scrap Business Ideas.


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