The forestry sector targets the export value of timber and forest products to reach 14 billion USD in 2021. Thissector will also develop and effectively use the existing forest area toimprove the output, quality and value of products, Nguyen Quoc Tri, directorof the administration said at a conference on performance in 2020 andimplementation of key tasks in 2021 held on in Hanoi on January 6.
Speakingat the conference, Minister of Agriculture and Rural Development Nguyen Xuan Cuongsaid the sector has developed processing activities of wood and furnitureproducts but still had too many raw products. There are few high-valuehandicraft products and pieces of furniture. Especially, wood processingcompanies are mainly located in the southern region.
Therefore,the minister has requested the sector to focus on development of the forestryeconomy and production growth of 10 percent each year in the period from 2021to 2025 and beyond.
Cuongalso said the forestry sector is facing many difficulties, including fiercerglobal trade competition. South Korea and the US, two key furniture exportmarkets of Vietnam, have started tax investigations against Vietnamese furnitureexports, so it needs to speed up reforestation to supply timber withorigin for exports and processing.
Theforestry sector also needs to increase the forest coverage rate. The rate nowis 42 percent but the sector must pay attention to forest development in thethree key areas of the Northwest, Central Highlands, and coastal region, hesaid.
Besidesthat, the policy on forest protection and development is inadequate and it hasnot encouraged local people to participate in forest protection anddevelopment.
In2020, the sector’s production, processing and consumption of wood and forestproducts were affected by the COVID-19 pandemic, causing breaks in theglobal supply chain, according to Cuong.
Thepandemic has also had a negative impact on 6,000 enterprises in the forestproduction industry, especially over 1,600 enterprises processing and exportingforest products. Some of them had to close.
Inaddition, logistics activities faced many difficulties due to the lack ofcontainers, causing a higher freight rate.
Withthose situations, the administration coordinated with those enterprises andassociations to solve difficulties. They guided businesses to handleinternational trade disputes and helped businesses reduce difficulties andresume production to maintain the industry’s production growth.
Asa result, the industry gained a year-on-year growth of 16.4 percent in theexport value of timber and wooden products to 13.17 billion USD in 2020,accounting for 31 percent of the agriculture sector’s total export value./.
VNA
