Wood exports to hit record of $18B this year
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The export turnover of wood and wood products is expected to set a record high of $18 billion in 2023, with wood pellets and woodchips forecast to enter the one-billion U.S. dollar club.
President of the Vietnam Timber & Forest Products Association (Viforest) Do Xuan Lap said that the figure will represent a 7-9% growth rate.
To that end, the industry will focus on raising the competitiveness of enterprises by reducing the use of imported wood, applying science and technology to improve labour productivity, and stepping up digital transformation to cut production costs.
In fact, in the fourth quarter of 2022, the number of orders decreased, and the gloomy atmosphere may linger on until the end of the first quarter of 2023. However, most of the businesses believe that the situation may begin brightening from the second quarter.
Pellets and woodchips are also hoped to be a motivation for the development of the sector this year.
Nguyen Thanh Phong, head of the wood pellet branch under the Viforest, said that Vietnam earned over $700 million from exporting nearly 4.7 million tonnes of pellets last year, up 35% in volume and 81% in value year-on-year,
Currently, Vietnam is the world’s second-biggest exporter of wood pellets, and the export value of this product is predicted to surpass $1 billion this year.
Questions & Answers
Q.What is the anticipated growth rate for wood and wood product exports this year?
What is the anticipated growth rate for wood and wood product exports this year?
The President of Viforest, Do Xuan Lap, stated that the forecast export figure of $18 billion for 2023 will represent a growth rate of between 7% and 9% for the industry.
Q.What steps will the industry take to boost enterprise competitiveness and achieve its export target?
What steps will the industry take to boost enterprise competitiveness and achieve its export target?
The industry plans to increase competitiveness by reducing reliance on imported wood, utilising science and technology to enhance labour productivity, and implementing digital transformation to decrease production costs.
Q.How did wood pellet exports perform last year, and what is their outlook for this year?
How did wood pellet exports perform last year, and what is their outlook for this year?
Last year, Vietnam exported nearly 4.7 million tonnes of pellets, earning over $700 million. This marked a 35% increase in volume and 81% in value year-on-year, with exports expected to surpass $1 billion this year.
Q.When do businesses expect the current challenging market conditions to improve?
When do businesses expect the current challenging market conditions to improve?
Businesses anticipate that the gloomy market atmosphere, which began in late 2022 and extended into early 2023, may start to brighten and improve from the second quarter of this year.
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