Vietnam’s wood processing industry has seen annual growth rates of around 10% in recent years and wood products are now one of the country’s main export items, with a value of around US$1bn this year.
Many Vietnamese exporters have benefited from a US decision to conduct an anti-dumping investigation into Chinese wood furniture. The US is the world’s biggest wood product importer.
To make the most of opportunities, the country now needs to look at questions of material supplies and trademarks.
Currently, Vietnam’s total logging volume stands at 50,000m3, while material demands for the wood processing industry are as high as one million m3.
Imported wood prices have risen between 10-30% in recent years, while exported wood products have remained unchanged. This makes Vietnamese wood products less competitive in the world market.
The wood processing industry needs to pour long-term investment in developing material forests, which would help ensure supplies when the world market experiences fluctuations.
Failure to establish trademarks in the world market is also blamed for their low competitiveness.
Local processors have also been unable to win big orders as they have failed to establish close links with each other to create a sense of security – a decisive factor for clients when making purchasing decisions.
