May 24, 2024
EU doors open wider for Vietnamese wood, furniture

VIETNAM, May possibly 11 –  

Nguyễn Tuấn, deputy director of HCM City Expense and Trade Advertising Centre, speaks at a seminar on export of household furniture and other wood solutions to the EU market place. — Photo courtesy of the centre

HCM Metropolis — Việt Nam has ample prospects to boost exports of wood products and home furnishings to the EU market place in the write-up pandemic interval, authorities say.

Speaking at a seminar organised on Tuesday by the HCM Town Financial commitment and Trade Marketing Centre (ITPC), its deputy director Nguyễn Tuấn stated the EU was among the the top 15 importers of picket furnishings, handicrafts and inside and exterior decoration products and solutions from Việt Nam.

As of 2020, Germany remained Việt Nam’s top European importer of inside and exterior wood products with 22 for each cent of imports, followed by the Netherlands (13 for every cent), the British isles (12 for each cent) and France (11 for every cent), Italy (4.6 for each cent) and Belgium (4.5 for every cent).

Nonetheless, the pandemic has strongly impacted economies around the world, which includes the EU, impacting exports to this significant industry. 

Furthermore, the ongoing Russia-Ukraine conflict has induced an economic disaster in the EU, right affecting people’s lives, switching tastes, demands and traits in browsing and use of the products.

Christine Le, senior enterprise improvement manager at Bureau Veritas, said it was critical to comply with good quality and sustainability requirements to export to the EU market.

“To penetrate the marketplace, good good quality is the very first detail firms will need to have.”

European people also want to know about labour problems and company social obligation standards, she reported.

Nguyễn Chánh Phương, deputy chairman of the Handicraft and Wooden Sector Affiliation of HCM Town, mentioned Vietnamese exporters have benefited from totally free trade agreements like the EU-Việt Nam No cost Trade Arrangement and the Detailed and Progressive Arrangement for Trans-Pacific Partnership, earning them extra competitive and enabling export current market enlargement. 

Several enterprises in the wooden field have obtained ample orders to keep their staff occupied through the third quarter and even right up until the end of this calendar year thanks to speedy resumption of creation. 

The business has noticed slight development in the initial quarter of 2022, with exports of wooden and picket household furniture growing 3 for each cent calendar year on yr to US$3.94 billion.

Challenges keep on

Exporters of home furniture and other wood goods deal with numerous troubles which include scarcity of raw products, raise in uncooked materials selling prices, labour shortage and manufacturing unit capacity, authorities stated at the seminar.

Substantial logistics value is a different challenge, induced by supply chain disruptions. 

Enterprises also face trade barriers and intensive level of competition from other exporters.

Exporters want to make certain authorized timber resources by escalating import of uncooked supplies from small-danger international locations, connecting with importers in produced countries and investing in escalating timber in Việt Nam, the professionals claimed.

They also require to pay out consideration to branding, solution style and pricing to ensure that they continue being competitive, they included. 

Even with suffering from a tough 2021 thanks to the pandemic, exports of picket furniture, handicrafts and inside and exterior merchandise attained $14.5 billion very last yr, up 17.2 for each cent in contrast to 2020.

Việt Nam exports wooden home furniture, handicrafts, and interior and exterior goods to some 140 countries and territories, with the EU, the US, Japan, China, and South Korea currently being the most important markets. — VNS