Wood and forest product exports to achieve $15 billion target

Positive signals

On March 6, the Ho Chi Minh City Wooden and Furniture Export Fair - Hawa Expo 2024 commenced at SECC (District 7), drawing 500 domestic and international businesses to participate.

The opening ceremony was graced by Deputy Minister of Agriculture and Rural Development Nguyen Quoc Tri, Deputy Minister of Industry and Trade Phan Thi Thang, Vice Chairman of Ho Chi Minh City People's Committee Nguyen Van Dung, and over 30 delegates from chambers and consulates of other countries.

Deputy Minister Nguyen Quoc Tri lauded the efforts of wood and forest product associations and enterprises in organizing Hawa Expo 2024.

According to the Deputy Minister, in 2023, the national export value of wood and forest products reached approximately $14.5 billion, marking a 15.4% decrease compared to 2022.

"This marks the highest decline the wood processing and forest product export industry has witnessed in the past 20 years. The decline stems from various factors, both subjective and objective. It not only impacts processing and exporting enterprises but also affects the raw material supply chain for forest growers in the past year," Deputy Minister Nguyen Quoc Tri emphasized.

Deputy Minister Nguyen Quoc Tri remarked that as we enter 2024, despite facing numerous difficulties and challenges, the wood and forest products processing and export industry shows promising signs. In the first two months of the year alone, wood and forest product exports approached nearly $2.4 billion.

The Ministry of Agriculture and Rural Development anticipates that by 2024, the value of wood and forestry product exports will surpass $15 billion. "To realize this objective, there is still substantial work ahead, requiring fundamental solutions in technological innovation, raw material procurement, and particularly addressing market concerns."

"Hawa Expo 2024 stands as a testament to the adaptability, creativity, and resilience of wood processing and exporting associations and enterprises. This event serves as an effective trade promotion platform, fostering increased connectivity, exchange, and cooperation. It plays a pivotal role in projecting the image of Vietnam's wood and wood products globally, thereby contributing to revitalizing growth momentum within the wood processing and products industry in 2024 and beyond," assessed Deputy Minister Nguyen Quoc Tri.

Market expansion and brand enhancement

Phan Thi Thang, Deputy Minister of Industry and Trade, emphasized that the wood industry holds significant economic importance for Vietnam, playing a pivotal role in production, business, and trade promotion.

In recent years, the wood industry has undergone notable transformations in production and export, demonstrating increasing competitiveness and significance in the global market while sustaining high and stable growth rates.

Enterprises within the sector have prioritized enhancing product quality alongside bolstering brand value, consequently maintaining dominance in several major markets such as China, the United States, Europe, and Japan. Concurrently, they are expanding the presence of Vietnamese wood and forest products and brands into 160 countries and territories worldwide.

"In the current landscape of a challenging market, where opportunities and challenges intertwine, in addition to market-related factors, green growth and sustainable development emerge as significant global trends and imperative mandates for the wood industry's advancement in the new era," Deputy Minister Thang emphasized. She further added that within this context, the Ministry of Industry and Trade has been actively collaborating closely with the Ministry of Agriculture and Rural Development, along with other relevant ministries, sectors, and localities nationwide, to execute numerous trade promotion initiatives. These efforts aim to support the wood and forest products industry in fostering market development, constructing and amplifying Vietnamese wood product brands through facilitating the participation of wood product enterprises in major domestic and international fairs and exhibitions.

Simultaneously, there is a focus on endeavors to enhance the competitiveness of Vietnamese businesses and wood products, enabling them to adhere to green standards encompassing both environmental and societal aspects, and to align with the sustainable production and consumption trends prevalent globally.

"Central and local wood industry associations have served as crucial bridges, proactively implementing various trade promotion activities such as exhibitions and trade fairs both domestically and internationally. These efforts have proven relatively effective in facilitating connections within the business community, both in local and foreign markets," Deputy Minister Phan Thi Thang remarked.

Mr. Nguyen Thanh Lam, General Director of Lam Viet Joint Stock Company (located in Binh Duong), expressed optimism regarding this year's fair as one of the participating businesses. "Following our participation in HawaExpo 2023 last year, we acquired two additional customers from the Middle East and Europe and secured steady orders. This morning, we welcomed 20 international delegations for visits," Mr. Lam stated, highlighting the promising outcomes and opportunities derived from participation in such events.

Mr. Nguyen Quoc Khanh, Chairman of HAWA, Chairman of Viforest Fair Company, and Head of the HawaExpo Organizing Committee, highlighted this year's theme as "Navigating the World of Possibilities," aiming to proactively guide businesses in promoting the diversity of the Vietnamese wood and fine arts industry.

The fair features over 2,500 booths, showcasing products from more than 500 exhibitors, with over 80% representing enterprises engaged in the production and export of wooden furniture and fine arts from Vietnam, as well as from countries such as China, Malaysia, Taiwan, France, and Spain.