The United States, which accounted for 50% of Vietnam’s total export turnover from wood and wooden products last year, firmly remains the largest buyer of Vietnam's wood products.
Wood products are processed for export. The U.S. remains the largest buyer of Vietnam's wood products
Aside from the U.S., top importers of Vietnam’s wood products also include Japan, China, South Korea, and the European Union, reported Thanh Nien newspaper.
However, according to the Vietnam Timber and Forest Product Association (Vietfores), the spread of the new coronavirus, which is associated with the disease Covid-19, has halted the exports of many products, it was reported during the seminar, held on February 28 in Hanoi.
At the same time, the local wood-processing sector still recorded an increase in export volume and value. In the first two months of the year, Vietnam’s wood and wooden product exports to foreign markets brought in US$1.53 billion, up 10.1% compared to the same period in 2019.
Last year, Vietnam earned over US$10.3 billion in exports of wood and wood products. Of this, outbound sales to Vietnam’s top five export markets---the U.S., Japan, China, South Korea and the European Union---made up US$9.3 billion, equivalent to 90% of the total value.
However, experts at the seminar predicted that the coronavirus epidemic will have an impact on the sector.
Many paper and pulp manufacturers in China have had to suspend operations or have reduced their manufacturing due to the impact of the disease, said Vietfores’ chairman Tran Xuan Lap.
Last year, Vietnam shipped over US$972 million worth of wood chips to China, but the Covid-19 outbreak could slow the export of wood chips this year, he added.
Experts and representatives of businesses at the seminar also recommended local wood-processing firms seek other wood material suppliers outside China if the disease continues spreading. SGT
Without acting today to ensure the proper planning and execution, the local wood-processing sector will find it difficult to fulfill the Government’s annual wood export target of US$20 billion by 2025.
The wood industry is seeking new supply sources with legal origin certificates, aiming for sustainable development of the industry.