Overcoming difficulties in 2023, the wood processing market has seen positive signs since beginning this year. Smooth consumption is significant to promote wood plantation and processing.

Hung Manh Wood Processing Company Limited in Gia Khe industrial cluster, Doi Ngo town, Luc Nam district has signed many export orders.

According to the provincial Department of Agriculture and Rural Development, the timber output in the entire province by the end of August was over 900,000 cubic metre, reaching 85.8 percent of the plan.

The raw wood price is higher than the same period from 100,000 to 150,000 VND (4 to 6 USD) per each cubic metre, contributing to increasing foresters’ income.

Besides, wood processing firms have continuously received good news with the large order quantity and increased prices when the market purchasing power recovered.

Particularly, Minh Khoi Company Limited in Nam Duong commune, Luc Ngan district sells from 3,000 to 4,000 tonnes of sawn timber per month to traders in Quang Ninh province for export.

According to the company representative, this year the products have been smoothly consumed without any backlogs thanks to more orders. The company can produce higher output if there is enough raw material (its current output is doubled the figure in 2023).

Hung Manh Wood Processing Company Limited in Gia Khe industrial cluster, Doi Ngo town, Luc Nam district has also received big orders for export of filmed faced plywood.

Currently, the province is home to nearly 1,000 timber processing facilities. Raw materials for production are mainly from plantation wood and a small quantity of imported ones with the main products of plywood, wooden formwork, wood chips and charcoal.

Apart from serving the domestic demand for construction and furniture, some companies have exported timber products to other countries.

Hung Muoi wood chip processing facility in Bien Son commune, Luc Ngan district has gained smooth consumption of its products.

Vietnam and European Union (EU) signed the Voluntary Partnership Agreement (VPA) on Forest Law Enforcement, Governance and Trade. This is a big opportunity for wood processing firms in Vietnam and Bac Giang to expand the export market, approach better to technologies and improve management competence.

To date, 170 countries and territories have ordered Vietnamese wood processing products including potential markets like the US, China, Canada, UK and EU.

According to the provincial Department of Agriculture and Rural Development, the province’s export value of wood products in the first 8 months reached 1.5 trillion VND (60.67 million USD) and it is targeted to reach about 2.5 trillion VND (101.13 million USD) by the end this year (equal to 125 percent against 2023).

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