Wood and forestry exports in the first 9 months of 2024 are estimated to reach 12.15 billion USD

Wood and forestry exports in the first 9 months of 2024 are estimated to reach 12.15 billion USD, up 17.2% over the same period in 2023.

Wood and forestry exports grow by double digits

According to the Department of Forestry (Ministry of Agriculture and Rural Development), with an average export value of wood and forestry products reaching nearly 1.4 billion USD/month, the export turnover of wood and forestry products in the first 9 months of 2024 is estimated to reach 12.15 billion USD, up 17.2% over the same period in 2023.

Of which, wood products reached 7.84 billion USD, up 20.7% over the same period in 2023; raw wood 3.533 billion USD, up 13.1% over the same period in 2023; Non-timber forest products 777 million USD, up 3.9% over the same period in 2023.

On the other hand, the import value of wood and wood products in the first 9 months of the year is estimated at 2.005 billion USD, up 24.9% over the same period in 2023. The trade surplus in the first 9 months of 2024 is estimated at 10.145 billion USD. It is expected that the export value of wood and forest products in 2024 will meet the set plan.

In the first 9 months of 2024, except for the two markets of Korea and Japan, which showed signs of a slight decrease of 2.7% and 1.4% respectively over the same period in 2023, the remaining major import markets still maintained quite strong growth.

Of which, the United States reached 5.9 billion USD, accounting for 54.4%, up 24.7% over the same period in 2023; followed by China with 1.3 billion USD and Europe with 630 million USD, both increasing by over 20% compared to the same period in 2023.

Still facing significant difficulties

According to Mr. Trieu Van Luc - Deputy Director of the Department of Forestry, currently some of our country's main wood product export markets (EU, US, Japan, South Korea) still face economic difficulties; product protection policies, strict implementation of regulations on illegal wood explanation, reduction of greenhouse gas emissions, regulations on non-deforestation and forest degradation of the European Union (EUDR), anti-dumping and anti-subsidy investigations of the US and South Korean markets.

The world situation continues to have geopolitical conflicts, complex and unpredictable fluctuations, increasing risk and uncertainty factors; The impact of high sea freight rates leading to an increase in the price of imported raw wood (some imported wood increased by 40% compared to 2023), causing the cost of output products to increase, while foreign importers require a reduction in product costs.

The refund of value-added tax (VAT) for enterprises producing wood chips and plywood products still faces many difficulties, because the verification procedures to the forest owners of the tax sector take a lot of time.

In addition, there are difficulties in the damage caused by storm No. 3. Accordingly, the consequences of storm No. 3 caused severe damage to people, property, crops, livestock, and socio-economic infrastructure, in which the forestry production sector also suffered great damage. The area of ​​​​nearly 170 thousand hectares of planted production forests was damaged, which will significantly reduce the source of raw materials for the wood processing industry in the coming time. Many wood and forestry production and export establishments in the northern mountainous provinces were damaged and need to invest in repair and restoration.

In order to achieve and exceed the target of exporting wood and forestry products in 2024 of 15.2 billion USD, of which wood and wood products are over 14.2 billion USD, an increase of about 6% compared to 2023, Mr. Trieu Van Luc said that the entire forestry sector is currently focusing on overcoming the consequences caused by storm No. 3, promptly supporting units and enterprises in forestry production, wood processing and export of damaged forest products to quickly stabilize production. Organize and effectively implement current policies, attract economic sectors to participate in the development of planted forests, wood and forestry processing.

Continue to support businesses to improve their capacity to proactively respond to and resolve trade competition cases, minimizing the negative impacts caused by lawsuits. Do a good job of propaganda, organize exhibitions, and investment promotion to advertise and introduce products, find and expand consumption markets for wood and forest products. Closely monitor and promptly grasp difficulties and shortcomings due to mechanisms and policies to remove them for wood and forest product processing and exporting enterprises.

At the same time, synchronously deploy solutions according to the direction of the Prime Minister in Official Dispatch No. 470 dated May 26, 2023 on continuing to resolutely and effectively implement tasks to remove difficulties for production and business of enterprises and people.