Wood product exporters had signed export contracts totalling 3 billionUSD until the year end, 400 million USD higher than last year, saidgeneral director of the Vietnam Timber and Forest Product AssociationNguyen Ton Quyen.
Quyen attributed the increase to a rebound in the export market and new markets, including East European countries.
Wood producers said they had received more orders at higher prices.
Director of the Lam Viet Company in southern Binh Duong province NguyenLiem said his company's revenues until July would exceed 6 million USD,equal to its sales for the whole of last year. The export prices alsorose 5-7 percent over last year, he said.
The demand formedium to high-end furniture had increased sharply after the economiccrisis, said Huynh Quang Thanh, general director of Hiep Long FineFurniture Company. His company had a turnover of 5 million USD in thefirst half of the year.
However, wood product exporters were concerned about the price hike of imported materials.
Viforest's statistics show the wood industry this year would need 6.4million cubic metres of timber, of which domestic production couldprovide only 1.6 million cubic metres. Therefore, the country would haveto import roughly 4-5 million cubic metres of timber to meet the annualexport target of 3 billion USD this year.
Meanwhile, the cost of imported wood materials had surged 15-30 percent in the past few months.
To deal with the shortage of materials, HCM City Handicraft and WoodIndustry Association vice chairman Tran Quoc Manh recommended thatexporters of wood products cooperate with each other to cut costs.
Mach said that 600 exporters were importing raw materials fromdifferent sources, which created volatility in the wood material marketand higher costs due to freight and having less negotiating powers.
Manh also said Vietnamese exporters should pay attention to the USLacey Act, a law that banned any wood products containing illegallyharvested timber. No shipments from Vietnam had been returned sofar, but exporters needed to prepare all documents carefully to avoidtrouble, he said./.
Quyen attributed the increase to a rebound in the export market and new markets, including East European countries.
Wood producers said they had received more orders at higher prices.
Director of the Lam Viet Company in southern Binh Duong province NguyenLiem said his company's revenues until July would exceed 6 million USD,equal to its sales for the whole of last year. The export prices alsorose 5-7 percent over last year, he said.
The demand formedium to high-end furniture had increased sharply after the economiccrisis, said Huynh Quang Thanh, general director of Hiep Long FineFurniture Company. His company had a turnover of 5 million USD in thefirst half of the year.
However, wood product exporters were concerned about the price hike of imported materials.
Viforest's statistics show the wood industry this year would need 6.4million cubic metres of timber, of which domestic production couldprovide only 1.6 million cubic metres. Therefore, the country would haveto import roughly 4-5 million cubic metres of timber to meet the annualexport target of 3 billion USD this year.
Meanwhile, the cost of imported wood materials had surged 15-30 percent in the past few months.
To deal with the shortage of materials, HCM City Handicraft and WoodIndustry Association vice chairman Tran Quoc Manh recommended thatexporters of wood products cooperate with each other to cut costs.
Mach said that 600 exporters were importing raw materials fromdifferent sources, which created volatility in the wood material marketand higher costs due to freight and having less negotiating powers.
Manh also said Vietnamese exporters should pay attention to the USLacey Act, a law that banned any wood products containing illegallyharvested timber. No shipments from Vietnam had been returned sofar, but exporters needed to prepare all documents carefully to avoidtrouble, he said./.
