Việt Nam's wood industry has many opportunities for recovery in 2024, with the Forest Stewardship Council (FSC) certification seen as essential mark for accessing global markets.In the EU market, Vietnamese wood products account for just 1.9 per cent of the total EU wood imports and 3.2 per cent of Việt Nam's export turnover, due to customer preferences and stringent EU Timber Regulation (EUTR) enforcement.The European Commission (EC) continues to enforce EU Timber Regulation (EUTR) legislation which presents a notable challenge for the Vietnamese wood industry as of the close of 2024.Under the Voluntary Partnership Agreement between Việt Nam and the EU on forest law enforcement, governance, and trade in timber products (VPA/FLEGT Agreement), Việt Nam has agreed that all wood products exported to the EU are legal, necessitating enterprises to adjust and comply accordingly.The EU Deforestation Regulation (EUDR) came into force in June 2023 and the new rules will become applicable as of December 30, 2024.This development brings fresh challenges for Việt Nam's wood industry.Effective from December 30, 2024, agricultural imports originating from Việt Nam, particularly wood products and destined for EU will necessitate certification verifying their origins are free from deforestation. Consequently, the majority of wood processing enterprises in Việt Nam are keenly watching evolving EUDR regulations.Ngô Sỹ Hoài, deputy chairman of the Việt Nam Timber and Forest Products Association (VIFOREST), said wood, coffee and rubber are the three commodities directly affected by the EUDR regulation, with the wood industry having more advantages due to the implementation of the Forest Law Enforcement Governance and Trade Voluntary Partnership Agreement (FLEGT-VPA).This bilateral trade pact between Việt Nam and the EU is aimed at providing a legal framework for Việt Nam's wood and wood product exports to the EU market.The Vietnamese wood industry perceives the EUDR regulation as more of a gateway than a hurdle and a well-executed approach could lead to a significant surge in Vietnamese wood products entering the under-served European market.The Ministry of Agriculture and Rural Development is actively negotiating with the EU to address these obstacles and the Forestry Department is preparing a forest soft map of Việt Nam before December 30, 2020, to serve as a reference basis.According to the Forestry Department, the global furniture market, valued at approximately $405 billion annually, will create a demand for wood and wood products totaling around $230 billion. Việt Nam's wood and wood product exports currently hold a mere 6 per cent of the global market share, indicating significant chances... (ICE HO CHI MINH CITY)

Fonte notizia: Vietnam News