Binh Dinh currently is one of three nationwide leading export woodwork centers and is considered as an “export woodwork metropolis” among central provinces. The annual export woodwork turnover worths more than 60% of the province’s total turnover. However, there are still many problems that need to be solved for export woodwork to develop stably.
* Binh Dinh – “Export woodwork metropolis” in central provinces
In the past ten years export woodwork has been considered as one of the key fields in Binh Dinh. Therefore, Binh Dinh Province synchorously applied invesment policies to such businesses for untying difficulties. As to these, they have tried their utmost to invest, develop, and expand markets. Many provincial companies have improved their competition.
Tens of export woodwork companies were issued COC certificate – ISO 9000-2001. They use imported wood originated from forests for sustainable control (FSC).
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Tien Dat Ltd’s workshop (see photo) |
Many companies invest in trade promotion, market development and e-commercial transaction. They also join in domestic and international fairs to popularize products, seeking for long-term cooperation, etc.
Thanks to this, provincial businesses have conveniently developed, becoming an “export woodwork metropolis” in Vietnam generally and among central provinces particularly. According to Trade Department’s statistics, export woodwork turnover in Binh Dinh has satisfactorily grown within the past 3 years (2004-2006). Accordingly, the turnover in 2004 was 118.48 million USD, in 2005 went up 127.437 million USD, and raised 146.23 million USD in 2006. The average increase is 25.8%, taking more than 60% of the province’s export turnover. Export woodwork density moves positively, high value added products increase, and products’ competing is elevated. Outdoor woodwork gains quite high export turnover with 118.479 million USD in 2004, 123.832 million in 2005 and 140.869 million USD in 2006.
Alongside this, wooden furniture has been exported for the first time since 2005 with export turnover getting over 3.6 million USD and went up more than 5.4 million USD in 2006. There are many provincial typical businesses such as: PISICO corporation, Duyen Hai private enterprise, and other limited companies like Tien Dat, Dai Thanh, Quoc Thang, Anh Viet, My Tai, Phuoc Hung, etc.
*Towards a sustainable development
However, there are still many difficulties in the manufacture of export woodwork in Binh Dinh. The biggest limitation is small-scale production, out-of-date technology and mechanical equipments, poor workforce’s skill and invariable product designs; meawhile, local raw material sources are unstable, both quality and quantity are poor, and the timber import is more difficult, etc.
Futhermore, the trademark of export woodwork hasn’t had proper concern from businesses. Management and coordination in business acitivites are still weak. According to experts’ analysis, advantages of Vietnam export woodwork are gradually decreasing whereas risks and challenges are raising, export woodwork markets are at the risk of being narrowed, and the competition is becoming more severe, particulaly outdoor export woodwork, etc.
Binh Dinh Province’s woodwork has been currently exported to 55 countries and territories wih the average ratio in Asia accounted for 1.7%, 89% in Europe, 5.9% in America, 0.3% in Africa, and 3.2% in Oceania. Countries importing Binh Dinh woodwork with high ratio (80% of the province’s export turnover) include France, Germany, England, Netherlands, Spain, The United States, Canada, Australia, Belgium, Greek, Denmark |
According to the Trade Department, the province’s 2007 export woodwork quota is 170 million USD, accounted for 60.7% of the province’s total export turnover. But in March, 2007, total export turnover came to 23.8 million USD, 16.5% decrease compared with the same period last year, particularly forestry products and export woodwork went down 26.3%. Therefore, to finish 2007 export woodwork plan is not a simple duty for trade agencies and businesses if there aren’t any effective solution and synchronous coordination.
According to Mr. Nguyen Thanh Son, vice-director of Trade Department in an interview with Binh Dinh newspaper reporter, to promote the production of export woodwork, it’s necessary to have key solution such as: the coordination among functional bodies and departments in untying businesses’ difficulties, supporting policies for them, and their determination, etc.
Accordingly, provincial functional bodies and departments should creat favourable conditions in premises, environment assessment, infrastructures, etc. Businesses need to try their best to seek, expand timber sources, and learn about the source of timber from Africa and South America markets, etc. to ensure a steady source of supply; they also have to promote marketing activities, expand consumption markets through the advertisement, the introduction of products in both foreign and online fairs, innovate and frequently improve technology, invest modern mechanical equipments, and design a variety of models having high competition to meet foreign taste, etc. Simultaneously, businesses should reinforce the application of raw material management process, satisfying standard of forest for sustainable control and product chain (Coc/ FSC), building international quality standard according to ISO-9000, etc.
Hoping that, with synchronous measures, export woodwork business will steadily develop, holding the position as “export woodwork metropolis” in central provinces.
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Reported by Viet Hien
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Translated by Hong Quang | 
