Despite daunting challenges, Vietnam’s exports of wood and wooden furniture have shown signs of recovery since the end of 2023, Director of the Vietnam Chamber of Commerce and Industry (VCCI)’s Ho Chi Minh City Branch Tran Ngoc Liem said on February 26.
At the opening ceremony of the Vietnam International Furniture & Home Accessories Fair (VIFA EXPO) 2024 in HCMC, Liem said that shipment of the products in December 2023 rose 10.3 percent month-on-month to US$1.6 billion while that in January grew 10.2 percent from the previous month to nearly US$1.8 billion.
He said this was the only product in the field of agriculture with export value exceeding US$1 billion within a month, and 32 out of 45 key export markets seeing growth.
However, Liem said that the wood industry is facing several problems that affect its sustainability, including risks related to imported timber materials, the EU’s deforestation regulations and requirements for wooden products to have low carbon footprints.
He also described the conflict in the Red Sea, which forced liners to stop transport or divert their routes, subsequently leading to higher transport expenses, as another major challenge.
Although export growth was recorded in several markets in 2023, such as India (288 percent), Peru (111 percent), Turkey (90 percent) and Norway (52 percent), it was a tough year for Vietnam’s wood exports. This was the first time the industry has reported negative export growth in two decades as shipments fell 14.8 percent to only US$16 billion.
VIFA EXPO 2024 is organised by the VCCI's Ho Chi Minh City Branch, the Vietnam Association for Construction Materials and the Alliance Handicraft & Wooden Fine Art Corporation from February 26-29.
It attracted more than 600 exhibitors who set up over 2,000 booths. The exhibitors are from 17 countries and territories, including Australia, Canada, China, Cambodia, Denmark, France, Hong Kong (China), India, Indonesia, the Netherlands, the US and Vietnam.
A wide range of wood furniture and products, home decoration items, handicrafts, machinery, and supporting services are displayed at the fair.
As an important trade promotion event for the wood and furniture industry, the expo serves as a venue for enterprises to introduce their products and seek orders.
