The export value of timber and wooden products during the January-November period was estimated at 11.7 billion USD, up 1.6 billion USD from the same time in 2019.
The forestry sector eyes 14.5 billion USD in export revenue in 2021, and 20 billion USD in 2025.
    |
 |
|
The forestry sector eyes 14.5 billion USD in export revenue in 2021. Photo: THPL |
According to the General Department of Forestry, Vietnam has many opportunities to expand export markets and increase export value for timber and wooden products. The world's furniture and wooden product market is large with a value of about 430 billion USD, including 150 billion USD from furniture products. Meanwhile, Vietnam’s furniture products at present only account for about 6 percent of the global market share.
Besides traditional markets with high export value such as the US, Japan, China, EU, and the Republic of Korea, some other potential markets also bring more opportunities for Vietnam to promote furniture exports, like Canada, Russia and India.
The Voluntary Partnership Agreement on Forest Law Enforcement, Governance and Trade (VPA/FLEGT) between Vietnam and the EU effective from June 1, 2019 helps local businesses to improve competitiveness for wooden products exported to the EU, according to the department.
The US market's demand for wood products from other countries, including Vietnam, is likely to increase because high import tax imposed on Chinese products has reduced furniture imported from this market.
In addition, Vietnam has ratified free trade agreements with many partners such as the EU, Japan, Chile and the Republic of Korea and it is implementing those FTAs so Vietnam’s many goods enjoy reductions or elimination in import duties. That would create a competitive advantage for export goods of Vietnam to those markets.
Furthermore, the Government, ministries, sectors and localities are implementing many solutions to continuously improve the investment and business environment for businesses processing export wooden products, including reduction of administrative procedures.
Source: VNA