The strict Forest Stewardship Council certification regulations pose both challenges and opportunities for the Vietnamese timber industry.
One of the largest retailers in the United States, is seeking to procure FSC certified wood products from Vietnam.
Vietnam has seen increased demand for FSC-certified timber materials due to requirements from import markets, the largest of which are the US and Europe.
However, there are challenges regarding FSC requirements on verification of the origin wood raw materials used in manufacturing.
Vietnam primarily purchases FSC wood from South American and African countries but transport is expensive and takes a considerable time.
In recent years, the Vietnamese government has introduced policies such as the Vietnam Forestry Development Strategy 2021–2030 and a scheme to develop a sustainable and effective wood processing industry which promotes the growth of plantations of large size logs with FSC certification.
As a consequence, an increasing number of companies operating in the timber processing sector are actively pursuing prospects for direct involvement in the certified forest supply chain. A number of companies, including Woodsland, NAFOCO, and Scancia Pacific have achieved raw material self-sufficiency it has been reported.
Woodsland Tuyen Quang, an enterprise that manufactures interior and exterior wood products for IKEA Group, has collaborated with five forestry companies in the northern province of Tuyen Quang since 2015 to secure certified raw material.
According to the company’s president, Do Thi Bach Tuyet, the company is engaged in collaboration with forestry firms and domestic organisations to formulate a forest management strategy spanning a minimum of seven years with the objective of establishing timber material areas that satisfy processing requirements.
Vu Thi Que Anh, the FSC representative in Vietnam, remarked that the ability to access more developed global markets is one of the greatest benefits for forest owners in Vietnam through obtaining FSC certification.
According to Que Anh the proportion of forested land in Vietnam with FSC certification has reportedly increased in recent years.
The FSC-certified forest area in Vietnam is projected to extend to around 282,960 ha, representing 64% of the country’s total planted forest area.