Once all the existing orders get filled, there's going to be a LOT of surplus stoves and pellets on the market.
Oil is now as cheap or cheaper than burning pellets. Lets face it, there have been a lot of people that bought alternative fuel burning devices, and I know most people will use them for a little while, but these people will soon realize they are taking a bath on this. Yes newbies. you've spent a lot of money rolling the dice and it looks like you're crapping out. This includes me... I replaced my pellet stove this year ($1500), pre-bought 5 tons of pellets (at $1025, and still haven't received them), converted my boilers over to NG (about $3500 after doing the work myself), picked up a used wood/coal stove ($700), will have to reline my flu ($1000), and have harvested about 10 cords of wood so far this year. All because I was pissed at big oil. Well, at today's oil prices, my payback should be about 867.9 years, plus or minus a millennium. Okay, maybe not quite that long. Now granted, I have (or will have) plenty of fuel for the coming years, I'll be in a position to burn whatever is cheapest at any given time, plus we all know at some point oil will rise again (although I don't expect to see another bubble anytime soon like we saw earlier this year). Regardless, the people who burn oil and sat back and did nothing to protect themselves against rising oil prices are the ones who inadvertently made the right move. Now granted, most of these same people either 1) couldn't afford to do anything, or 2) had enough money that they didn't care either way. Regardless, these folks appear to be the people who will make out this winter.
If oil remains cheap (and it should until the economy corrects, which won't be this winter), and the pellet manufacturers don't throttle way back after filling existing orders, we are going to see a major surplus of pellets going forward. I can tell you one thing, you won't be seeing $300+ pellet prices next summer!
Me, I'm sure I'm going to make out in the long run since I can now opt for any one of several fuels, but I can tell you this has already been a costly year and the payback will take a little longer than I initially thought.