- Wood export turnover grows 16 percent in Q1
- Vietnam’s wood exports to EU likely to reach 1 billion USD thanks to EVFTA
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| Workers at a wood processing firm in Vietnam (Photo: VNA) |
Amid an array of difficulties caused by the COVID-19 pandemic, the wood industry is exerting every effort to maintain business and production, while implementing initiatives and defining strategic lines of products and markets.
A survey of 124 wood processing enterprises on the impacts of the disease found that the sector’s export turnover and growth are likely to drop sharply in the near future.
Up to 76 percent of enterprises said that the sector is likely to suffer total initial losses of 3.06 trillion VND (131 million USD), while the remaining said they have not yet determined the level of losses.
Only 7 percent of the respondents said they are maintaining operations as normal. Meanwhile, 51 percent reported that they had scaled down production, and 35 percent said they will have to suspend operations in the coming time.
According to Chairman of the Vietnam Timber and Forest Product Association (VIFORES) Do Xuan Lap, while most wood firms had to narrow their production scale, some are still maintaining production thanks to stable lines of products in key markets.
To Xuan Phuc, an expert from Forest Trends, commented that although the pandemic will end, but the operation of the wood industry cannot go back to normal.
The sector should change the identification of strategic lines of products and markets to ensure sustainable development as well as promote links among businesses and develop the supporting industry, he suggested.
Vietnam's export value of wood and wooden products reached 2.7 billion USD in the first quarter of 2020, representing a year-on-year increase of over 16 percent, according to the Ministry of Agriculture and Rural Development.
