Vietnam is Canada’s fourth largest supplier of wood furniture with a market share of 12.9% of the country’s total wood furniture imports.
Besides the certain achievements of wood industry last years, and new opportunities coming from Law on Forestry and free trade agreements, there are various difficulties and challenges this industry has to overcome to reach the target set forth.
Việt Nam’s woodworking industry can expand exports but to expand market share and increase value, it needs to keep pace with market trends and capitalise on opportunities, experts have said.
Vietnam’s wood and wooden product industry has prematurely achieved its export target set for 2020, as the sector ranked among the top ten areas that generated the highest export revenue for the country in 2017, according to statistics announced this week.
Vietnamese enterprises, regardless of size, should use enterprise resource planning (ERP) solutions to optimise their resources and improve their efficiency, heard a seminar organised by the Handicraft and Wood Industry Association of HCM City on January 9.
With robust growth in the wood processing industry in 2017, Vietnam is looking forward to getting a turnover of US$8 billion from exports of wooden furniture in 2018.
Valuable wood that could be used by local carpenters is being shipped overseas.
Domestic enterprises have dominated Vietnam’s wooden furniture market in recent years with annual revenue of US$2 billion, said Huynh Van Hanh, vice chairman of the HCMC Handicraft and Wood Industry Association (HAWA).
Vietnam Timber and Forest Products Association general secretary Nguyen Ton Quyen said exports to major markets such as the US, Japan and the European Union will continue to increase and achieve growth rates of 10 per cent, 15 per cent and 18 per cent respectively.
Once the EU-Vietnam Voluntary Partnership Agreement on Forest Law Enforcement, Governance and Trade (VPA-FLEGT) comes into force, there will be opportunities for Vietnam to export more wooden products to Europe and other markets, delegates told a seminar in HCM City on June 13.