Nghe An: Wood Exports Continuously Receive Good News

Nghe An wood export industry declined due to the general influence of the economy, will the last months of the year accelerate to the destination with the set target?

After a long time of “blocking” output, from the beginning of July 2023 until now, wood export orders of enterprises in Nghe An are starting to increase again.

Order recovery

The wood export market began to show positive signs, starting to prosper again when the number of customers was more interested in the product as well as the price of this item.

In Nghe An, enterprises processing wood and non-timber forest products have begun to restore production due to receiving orders to consume processed products.

In June 2023, many wood and non-timber forest products processing enterprises in Thai Hoa town, Nghi Loc district… had thousands of cubic meters of wood and non-timber forest products in stock. There is an inventory business with a volume of more than 3,000 m3 of wood products.

A representative of Thanh Chuong Wood Production and Trading Joint Stock Company in Thanh Huong commune, Thanh Chuong district said: From the end of 2022, it is very difficult to export pellets to the European, Korean and Japanese markets. Towels, reduced prices.

However, from the beginning of July 2023 until now, the factory has found an order in Japan, selling with a volume of over 11,000 tons, priced at 180 USD/ton. Currently, the factory is continuing to look for other orders to maintain the output of 10,000 tons of products/month, (equivalent to purchasing 24,000 tons of raw acacia in Thanh Chuong district).

According to the Department of Agriculture and Rural Development of Thanh Chuong district: Currently, the locality has over 20,000 hectares of raw acacia material, annually harvesting from 2,500-3,000 hectares of acacia. The fact that Thanh Chuong Timber Production and Trading Joint Stock Company can find export orders and operate stably continues to bring benefits to both acacia growers and factories. After a long time of glue “clogging” the output, up to now, the factory has returned to operation. People sold glue to the factory for 10.5-1.1 million VND/ton, making a profit.

At the same time, Song Hieu Agro-Forestry Company Limited (Thai Hoa town) was also busy with export orders. Mr. Nguyen Ngoc Hoang – Chairman of the Board of Directors of Song Hieu Agriculture and Forestry Company said: The company has an inventory of nearly 4,000 m3 of wood products, worth nearly VND 30 billion at the end of June 2023.

“However, from the beginning of July until now, the company is looking for new partners to buy wood chips from the southern provinces. They collect goods and export to America. Currently, the wood inventory has been sold out, the factory has returned to 70% capacity. Thanks to the stable output, nearly 100 workers have jobs…” – Mr. Hoang added.

Similarly, Nghe An PP Paper Materials Joint Venture Company in Khanh Hop commune (Nghi Loc) said: From the beginning of the year until now, the factory has a backlog of over 2,500 tons of wood chips. But from the beginning of July 2023, the factory has cooperated with wood chip processing units in provinces and cities, collecting and exporting goods to China and Korea.

Expanding the market, actively “hunting sale”

According to a report by the Nghe An Department of Industry and Trade, this locality currently has more than 45 wood processing enterprises, more than 100 non-timber forest product enterprises and more than 10,000 production and trading establishments for foreign wood and forest products. wood. According to the Department of Industry and Trade, Nghe An province strives to bring the export turnover of wood and non-timber forest products to over 1 billion USD by 2025.

In the first 6 months of 2023, orders from enterprises in the industry decreased by an average of over 50%. However, from July 2023, businesses started to receive orders again, mainly exporting to European markets, Korea, Japan… Especially now, the previous source of inventory of wood processing factories have basically been liberated, factories are operating again.

Mr. Nguyen Tien Lam – Vice Chairman of Nghe An Woodworking and Non-timber Forest Products Association said: Although the wood industry has prospered, businesses can find export orders, but the number of orders is not large, due to difficulties. economic hardship. Depression. Therefore, Nghe An wood enterprises still have to actively seek and expand markets, especially the domestic market.

In addition, businesses need to improve their competitiveness, ensure product quality, and match their tastes. Wood industry enterprises need to focus on restructuring and reorganizing production, focusing on technological innovation, perfecting the production management system, and improving the efficiency and quality of human resources. to reduce costs.

Nghe An province is aiming to create a chain of links from animal husbandry, afforestation to exploitation, production, processing and consumption of products between forest growers and enterprises; supporting enterprises to access credit sources to invest in production and business expansion.

The solution proposed by this locality is to prioritize and encourage the planting of large timber forests and intensive plantations, accounting for 30% of the province’s planted forest area; improve the efficiency of afforestation; create favorable conditions to attract enterprises to process wood and non-timber forest products.

However, currently in Nghe An, the joint ventures and associations in forestry production, the forms of association in the production and consumption of forest products are not clear, small scale, not strong enough to collect budget. attract households and individuals to participate in production; The product output market is unstable, heavily dependent on enterprises outside the province and abroad.

On the other hand, in some localities in the province, most enterprises are still small, with outdated technology and management level; Investment attraction is still slow, there have not been many large projects with strong motivation and impact, promoting the market for wood processing and non-timber forest products.

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