Forestry sector aims for 17.5 billion USD in exports next year

The forestry sector is set to harvest 17.5 billion USD from exports and 23 million m3 of wood from planted forests in 2024. (Illustrative image - Source: VNA)

The forestry sector is set to harvest 17.5 billion USD from exports and 23 million m3 of wood from planted forests in 2024, Trieu Van Luc, Deputy Director of the Forestry Department under the Ministry of Agriculture and Rural Development, has unveiled.

Luc revealed the targets at the department's conference on December 27, which reviewed the sector’s performances this year and outlined development orientations for 2024.

He stressed that the sector is committed to developing sustainable forestry economy and leveraging the multifaceted value of forest ecosystems through efficient resource management and use. It plans to protect and sustainably develop 100% of the existing forest area, while steering towards green, sustainable, and circular production practices. Another goal is to promote perse forms of collaboration in the forestry production and business chain.

The department reported an estimated forestry product export value of 14.39 billion USD this year, down 15.8% year-on-year. This decline was attributed to market instability influenced by the political conflict between Russia and Ukraine, coupled with tightened consumer spending on non-essential products, including wood, in the US and the EU.

In 2023, Vietnam's forestry sector saw an important milestone as procedures were successfully completed to transfer a reduced carbon emission volume of 10.3 million tonnes to the Forest Carbon Partnership Facility (FCPF) through the World Bank (WB). The deal, valued at 5 USD per tonne of CO2, amounts to 51.5 million USD.

Illustrative image (Source: VNA)

The Vietnam Forest Protection and Development Fund has already received an initial payment of 41.2 million USD from the WB and promptly disbursed the entire amount serving the urgent payment planning for forest owners in the six north-central provinces of Thanh Hoa, Nghe An, Ha Tinh, Quang Binh, Quang Tri, and Thua Thien-Hue.

The sector has also faced challenges in 2023 due to the El Nino phenomenon, resulting in unusual weather conditions and high risks of forest fires. Meanwhile, illegal deforestation, trading, and transport of forestry products have been catalogued across various localities. However, with significant efforts, the sector strived to maintain a forest coverage rate of 42.02%./.