Vietnam’s wood industry is leaving behind a successful 2020, ready to embrace the new advantages that some of last year’s signed and effective trade agreements bring with them.
The forestry sector has set a target of achieving an export revenue of US$14 billion in 2021 despite encountering trade remedy cases and tax evasion lawsuits.
A wood processing line for export in Lâm Đồng Province. In the first 11 months of 2020, the wood sector’s export turnover reached more than $11 billion, representing a 15.6 per cent year-on-year increase.
The development and activation of a geographic origin and timber species risk category plays an important role in controlling the legality of imported timber, attendees heard at a seminar in Hà Nội last Friday.
Enterprises in certain sectors have mapped out plans to increase their presence in the domestic market as most foreign ones have become frozen due to the COVID 19 pandemic.
Vietnam’s National Assembly ratified a free trade agreement with the European Union on Monday 8 June 2020. This will have a significant impact on the development of the timber export industry and provides Vietnam with an incentive to implement its timber legality assurance system.
Not wanting to be "overwhelmed" by the difficulties caused by the Covid-19 epidemic, reorganizing production scale and capacity, restructuring goods or promoting online sales. It is an initiative and practical action implemented by many timber enterprises.
China has invested in 29 plywood projects worth over US$150 million in Vietnam, becoming the country’s largest plywood investor, according to Ngo Sy Hoai, vice chairman of the Vietnam Timber and Forest Products Association.
Vietnam’s wood export revenue is forecast to rise 20% in 2020. However, the industry cannot avoid the impacts of the recent epidemic, necessitating efforts to diversify its export markets.
The wood industry was facing a ‘disaster’ with many businesses left without orders from now until 2021 due to the COVID-19 pandemic, said the Vietnam Timber and Forest Product Association (VTFPA).