October 1, 2022

Vietnamese Exports of Wood Products Increase 55 Percent in Seven Months | Business

Workers check the home furnishings of the Thuan An Timber Processing Joint-Stock Company in southern Binh Duong Province. (Photo: VNA)

Hanoi (VNA) – Vietnam exported $ 9.58 billion worth of lumber and wood products in the first seven months of this year, an increase of 55 percent year-on-year, according to the General Customs Department.

Of this figure, wood products brought in 7.44 billion USD, showing an increase of 64% over the same period last year.

Local experts have contributed to the impressive growth in timber exports as the demand for furniture increases during the COVID-19 pandemic.

According to Dien Quang Hiep, chairman of the Binh Duong Furniture Association (BIFA), shipments to the main export markets of Binh Duong’s wood processing industry are increasing dramatically.

The US market accounted for over 65 percent of Binh Duong’s total wood products export turnover, with an increase of 81% over the same period last year, while the Hong Kong (China) market accounted for 8.5%, with an increase of over 47%, and the Taiwan market (China ) increased by 43%.

A similar situation is also reported in the central province of Binh Dinh.

Ngo Van Tong, director of Binh Dinh’s Ministry of Industry and Commerce, said wood products have been exported to countries in Europe, Oceania, America, Asia and Africa. The province’s furniture exporters have received orders through the end of the third quarter of this year.

The COVID-19 pandemic has caused many hardships for business and transportation activities, leading to changes in the way people live and work, with consumers buying more furniture to maintain their work and life at home. So, Hiep said, the province’s living room and dining room furniture export turnover is expected to increase rapidly in the coming times.

In order to be able to meet orders for wood products, the wood processing companies in Binh Duong quickly adapted and changed their production methods accordingly, he said, adding that some companies were renting more land to open. factories.

Bui Chinh Nghia, Deputy Director General of the Vietnamese Forestry Administration (VNFOREST) ​​under the Ministry of Agriculture and Rural Development, said, with the markets of the United States, Japan and Hong Kong (China ), the turnover of Vietnamese timber exports and drink products on the European market would increase sharply in the last months of 2021 when the COVID-19 pandemic is brought under control and prevention measures are gradually relaxed.

Although the Vietnamese timber processing and export industry has grown in light of the context in which the whole country is facing the COVID-19 pandemic, challenges remain.

According to Nguyen Liem, chairman of the board of directors of Lam Viet Company in Binh Duong province, the strong growth in the value of lumber industry exports over the past two years carries potential risks as the United States would increase defensive measures for growing imports.

Therefore, companies that export living room and dining room furniture must be careful to avoid becoming a transit point for goods to a third country, he said, adding that if the United States imposes sanctions to the Vietnamese timber industry, the entire sector would be seriously affected.

Another issue for the industry is the lack of empty containers for shipments, which has driven transportation costs up two, three, and even ten times over the past two or three years. /.