Chile plans timber exports to Vietnam

Chile has 17.3 million hectares of forests, or 22.9% of its land area. Its annual timber production stands at 40 million cubic metres.

Chile has sustainable forest management certification, which reduces the pressure on natural forests, Aldo Cerda, chairman of the Chilean Timber Council, told the seminar.

"FSC and PEFC are by far the most important certification systems worldwide, and 70% of the forest plantations in Chile are not only certified, but double-certified. The remaining 30% has been almost entirely assessed according to both standards as ‘non-controversial' sources, ensuring long-term availability of wood that fulfills all requirements of responsible procurement."

With Vietnam's wood production and exports forecast to develop strongly, there is an enormous potential for collaboration between Chile and Vietnam, he said.

Dao Tien Dung, office manager at the Handicraft and Wood Industry Association of Ho Chi Minh City (HAWA), said Vietnam's wood products exports grew at an annual rate of 15%-18% in the last decade.

To sustain production, Vietnam imports large quantities of timber from other countries, but not Chile, he said, adding that out of US$2.1 billion worth of imports last year, that country accounted for only US$49.2 million.

The seminar was followed by business-to-business meetings.

Organised by HAWA and the Chilean Trade Promotion Agency, the seminar was attended by a delegation of 14 Chilean companies, businesses from Indonesia, Malaysia, and Singapore together and more than 40 Vietnamese companies.

Vietnam's wood product exports were worth US$6.3 billion last year and are expected to top US$7 billion this year.

The country ranks first in Southeast Asia and sixth in the world in terms of wooden products production, he said.