Effectively exploiting the wooden furniture export market in the current context

The export of wood-based products is on the rise despite the economy being heavily affected by the pandemic and the supply chain crisis.

2021 can be considered a stagnant year for many import and export products because of the great impact of Covid 19 and supply chain congestion. But for the wood mining, processing and import-export industry, there are still positive signals as well as many opportunities for development and rise. Melody would like to share some important information for agribusiness enterprises, especially the wood industry, to grasp the current situation.

Optimistic signals

According to published data, the export turnover of wood and forest products in the first 11 months of 2021 reached 14.27 billion USD, up 21% compared to 2020. Notably, the export value of the whole 2021 is estimated at 15 0.6 billion USD, up 18% compared to 2020 and exceeded the set plan (14 billion USD). The value of trade surplus is high, estimated at 12.6 billion USD, up 18.4% compared to 2020. This is an outstanding growth in the context of the epidemic situation in the country and the world.

The covid epidemic has had a strong impact on processing industries, especially agricultural products with short shelf life and preservation. However, for the wood processing and export industry, this is an opportunity, because the demand for shopping and home decoration of foreign customers increases.

In which, the US market accounts for more than 65% of total export value, this is also the largest wood export market of Vietnam. Hong Kong (China) market accounted for 8.5%, up more than 47%; Taiwan (China) market accounted for 5.6%, up 43%. In particular, since the EU-Vietnam Free Trade Agreement (EVFTA) officially took effect in August 2020, Vietnam’s wood industry in general and Binh Duong’s wood processing and export industry in particular expect will expand the consumption market in the countries of the European Union.

Dealing with obstacles

Vietnam’s wood processing and export industry is still on an outstanding growth trajectory, even in the context that the whole country is responding to the COVID-19 epidemic. However, the whole industry is still facing objective obstacles besides the COVID-19 epidemic.

And there are also risks because the US side will increase defensive measures for items with sudden growth. Vietnamese exporters need to strictly comply with regulations on certification of origin and anti-fraud.

Along with the new regulations of the US market, Vietnam’s wood processing and exporting industry is also facing a common problem of the world economy. That is the shortage of empty containers to export goods through international ports before being delivered to customers around the world.

Besides, transportation costs at the present time have increased many times compared to previous months, so wood processing and exporting enterprises in particular are negatively affected by the increase in freight rates on routes. long.