Vietnam eyes 1 mln hectares large-sized timber forests

Facebook
X
WhatsApp
Telegram
Email

LET’S READ SUARA SARAWAK/ NEW SARAWAK TRIBUNE E-PAPER FOR FREE AS ​​EARLY AS 2 AM EVERY DAY. CLICK LINK

KUCHING: Vietnam targets to increase large-sized timber forests to one million hectares by end-2030.

Currently, planted forest account for 31 per cent of Vietnam’s total forest area of 14.74 million hectares, according to the country’s Forestry Department statistics.

In 2022, Vietnam earned US$15.67 billion from exporting forest and wood products, and the country aims to achieve US$18-20 billion from exports by 2025 and to US$23-25 billion by 2023.

In the first 10 months of 2023 (10M2023), Vietnam recorded earnings of US$11.65 billion from the exports of wood and forest products.

Vietnam has about four million hectares of production forests, providing about 20 million cubic metres (cu m) of wood and these plantation forests are cultivated with mainly commercial species like acacia, eucalyptus, cinnamon and pine, according to the Forest Department’s forest utilisation division head Vu Thanh Nam.

“Of the 4 million hectares of production forests, the plantation area of large sized timber (over 10 years old) is currently about 440,000 hectares.

“The state has a policy to support forest planting at VND8 million (RM1,540) per hectare and the Ministry of Agriculture and Rural Development has submitted to the government proposals to promulgate a policy for forest planters to borrow capital to produce large-sized logs,” said International Tropical Timber Organisation (ITTO) Tropical Timber Market Report (Nov 16-30, 2023).

See also  MIDF offers financial relief to clients

The ministry, said the report, is developing a project to create plantations to produce large-sized logs including mechanisms and policies on cooperation and association with the aim to have one million hectares of large-sized timber forests by the end of 2030.

In addition, local groups and communities will be encouraged to plant for long rotations to produce large logs. 

Forestry experts have urged Vietnam to switch to invest in large-sized timber forests to further raise export value.

According to Vietnam Academy of Forest Sciences deputy director Tran Lam Dong, it is necessary to expand cultivating trees in areas with sustainable tree-planting certification to produce raw materials for manufacturers.

Vietnam has two types of forest certification — the national forest certification system (VFCS) from the Office of Sustainable Forest Management Certification and FSC forest management certification from the International Forest Stewardship Council (IFSC). As of September 2023, Vietnam’s total forest area that has achieved both VFCS and FSC certification is nearly 500,000 hectares.

See also  Matrade, IsDB tie up to create business opportunities with OIC countries

The report said it has been determined that sustainable forest certification for one million hectares of large-sized timber forests can be a passport for Vietnam’s wood processing industry to increase export earnings and diversify markets.

Moreover, achieving sustainable forest certification for one million hectares of large-sized timber forests will help reduce dependence on imported raw materials.

In a circular dated Nov 14, 2023, Vietnam’s Industry and Trade Ministry said it has decided to extend the import ban of timber from Laos and Cambodia. The temporary suspension of import and re-export of round wood and sawnwood from natural forests in Laos and Cambodia was imposed five years ago and expires on Dec 31, 2023.

The decision to extend the import ban was made following findings from a review and assessment, and to avoid legal gap, said the circular.

“Vietnam is committed to implement policy mechanisms and measures to improve the effectiveness of forest management and forest product management to ensure compliance and international norms and regulations.

See also  SC revokes financial planner’s permit for false declaration

“Vietnam has participated in a Voluntary Partnership Agreement between Vietnam and the European Union (EU) on forest law enforcement, forest governance and forest product trade (VPA/PLET), the Convention on International Trade in

Endangered Species of Wild Flora and Fauna (Cites) and is active to strengthen measures to protect the environment and to combat climate change,” said the report.

Meanwhile, Vietnam has slowed down the imports of raw wood (logs and sawnwood) from the United States to 436,880 cu m worth US$185.8 million in 10M2023, down 26 per cent in volume and 34 per cent in value as compared to 10M2022.

However, the imports rose in October again, reaching 45,000 cu m (US$18.5 million), up six per cent in both volume and value in September.

Download from Apple Store or Play Store.