(VOVWORLD) - Although many economic sectors are hurting from the COVID-19 pandemic, Vietnam's wood industry has overcome the challenges and maintained its growth. Experts say Vietnam's wood export revenues are modest compared to their great potential.
 Strong wood exports put Vietnam on the global map (Photo: dangcongsan.vn) |
In the past seven months, Vietnam earned more than 7.3 billion USD from exporting timber and wood products, 9.6% more than last year. The US, China, and Japan continue to be the biggest importers, accounting for 77% of the total revenues.
Topping ASEAN and ranking 2nd in Asia and 5th in the world, Vietnam's wood processing industry is considered one of its most dynamic industries.
The sector’s export revenues have grown by double digits in recent years, attracting more and more businesses.
Vu Hai Bang, Chairman of the Board of Directors and Director General of the Woodland Company which has exported wood furniture to the EU for more than 10 years, said, “Five years ago we learned about the EU’s requirements.”
“In 2017, before the EVFTA was signed, we started using legally certified timber materials to meet the demands of European and American consumers, who require guaranteeing of the origin of wood. This has improved our product image,” Bang added.
 (Photo: nhandan.com.vn) |
Pham Van Dien, Deputy Director General of the Vietnam Administration of Forestry, said that among Vietnam’s most profitable export products, wood furniture has the biggest export value.
Based on performance over the past 8 months, turnover of wood and forestry product export is expected to reach 12.5 billion USD this year. That achievement is partly due to the sector’s timely digital transformation to overcome the challenges of the pandemic.
Dien said, “One of the solutions is to speed up our digital transformation and increase online transactions to make it more convenient for all components of the supply and production chain, particularly amid the COVID-19 pandemic.”
Do Xuan Lap, Chairman of the Vietnam Timber and Forest Product Association, said Vietnam’s wood industry has great opportunities to expand its global market share, particularly in the context of the increasing trade war between the US and China.
According to Lap, “Vietnam’s wood industry is seeing opportunities brought by the US-China trade war as commodities supply moves to Vietnam. Businesses in the field should make the most of the shift, especially of core products and markets, and participate more in the chain and boost growth.”
He added, “The Association will establish an affiliate specializing on interior decoration and kitchen cabinets to export to the US.”
Vietnam's forest product exports enjoy an opportunity to penetrate into the world market thanks to reduced import tariffs brought by free trade agreements Vietnam has signed.
This will help the sector realize its export targets this year and better exploit traditional markets like the US, Japan, China, the EU, and South Korea as well as potential markets like Canada, Russia, and India.