December 5, 2022

Wooden furniture companies advised to optimize household materials | Business

Vietnamese companies have the opportunity to export wood products because global wood interior decoration market is expected to grow by 3.5% in 2018. (Photo: VNA)

Hanoi (VNA) – The global wood interior decoration market is expected to grow by 3.5% in 2018 and continue to grow, bringing opportunities for vietnamese companies at increase exports some products.

If Vietnamese enterprises optimize the material sources available to them and make the best use of trade promotion activities, their export earnings can exceed $8 billion.

According to Huynh Van Hanh, vice president of the Ho Chi Minh City Wood Crafts and Industry Association, over the past 15 years, the wood industry has maintained a growth rate of 8 at 15% per year despite global economic fluctuations.

The biggest problem for wood processing companies in Vietnam is that they focus on a low value-added market segment, mainly focusing on outsourcing for foreign customers.

To further develop the domestic wood industry, enterprises should pay more attention to overseas sales of the entire high-end interior decoration space instead of doing home work and selling products. separated.

Meanwhile, the Vietnam Timber and Forest Products Association (VIFORES) said it is necessary to make full use of domestic material sources to create a breakthrough for the sector.

Statistics showed that Vietnam has more than 3 million hectares of acacia trees with the production of 150 cubic meters of wood from one hectare per year. If it only exploits half of the total area, Vietnam will have 22.5 million cubic meters of timber per year, meeting the material demand of the entire sector for domestic and foreign markets.

In particular, acacia wood is much cheaper than imported wood, which will facilitate a closed production chain for wooden products made in Vietnam.

Along with optimizing material sources, trade promotion activities should also be strengthened to help increase domestic sales.

Hanh said that currently, trade fairs and exhibitions are considered the most economical and effective method of promotion. Therefore, in 2018, HAWA informed its members about a number of overseas events and helped them to attend the events to seek partners and expand markets.

However, Hanh said the exhibitions in the country have attracted a growing number of companies, especially small ones, as they would immediately know the number of deals made.

He noted that the Vietnam International Furniture and Home Accessories Expo (VIFA Expo) 2018 attracted 4,528 companies, while the 2017 event only gathered 2,000. event also increased.

Apart from traditional business promotion, digital marketing is popular in many countries such as the United States, Germany, Italy, and China. However, it is difficult to find Vietnamese wooden decoration companies on the Internet because Vietnamese companies have not yet exploited this method effectively. -VNA