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Furniture Export confident with the target of $ 6.2 billion
27/02/2014

According to Mr. Right , from late 2013 and early 2014 , many processing companies , furniture exporters have signed export contracts with partners , including large orders , long-term with large corporations such as Carfor ( U.S. ) , IKEA (Sweden ) for export to major markets are the U.S. and EU .

” A number of companies in Nam Dinh province even signed orders in 5 years with the IKEA Group and their investment supports a number of initial conditions on capital equipment to manufacture in accordance with the criteria technical standards of the EU . Currently this is the basis of modern manufacturing and most synchronized country , ” said Mr. Right .

2013 , furniture exports reached the highest ever with $ 5.7 billion , which is also not to mention non-timber forest products . Here are the results from the policy , macroeconomic policy of the State and the great efforts of the business community .

However, exports of wood and wood products and the profit factor value is not high due to rising input costs such as electricity , water , labor and material costs while the price increase does not increase much . Therefore, in 2014, in addition to expanding new market search , the timber industry will focus on production levels of high added value .

The prospects of the market in 2014, Mr Right said , the U.S. economy has recovered , Japan should prosper furniture exports to these two markets capable of positive growth compared to 2013. The Chinese market is growing very strong , but in the long term need to raise the added value , by now exports to this market are mainly primary products such as wood chips , wood pieces … with low technology and cost cheap.

In addition to the aforementioned market , businesses are stepping up promotion of export to other potential markets such as Russia , India , the Middle East and particularly strong investment promotion into Myanmar market .

As for the EU , Mr Right said that geographical balance and the size of this market is enormous , especially when the Agreement on the Trans-Pacific Partnership ( TPP ) and the Free Trade Agreement ( FTA ) Vietnam – EU was signed . ” When TPP and FTA Vietnam – EU was signed will create favorable conditions for Vietnam to EU furniture . However , we are considering will focus on advanced markets , technology , products so that companies raise yourself to adapt , “Mr Right said .

Assessing the prospects of the Voluntary Partnership Agreement ( VPA ) between Vietnam and the EU furniture exports to this market , Mr Right said that VPA is the way to ensure that wood and wood products of Vietnam can maintain a foothold in this market while increasing access to other markets .

” VPA is voluntary and we will be more beneficial to get more support to higher market shares for a higher price , but also difficult because many of the changes to the legal framework to adapt in while this is a long process . However, the implementation of the Agreement VPA / FLEGT accordance with regulations will help improve incomes for afforestation , forest protection and management companies a more professional manner , and also an opportunity to perfect the mechanism wood industry development policy Vietnam … ” , he said.

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