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Vietnamese woodworkers face high material costs

   Moscow. Mar 28, 2008. /Lesprom.com/. Vietnamese wood exporters in the southern province of Dong Nai have met with many difficulties, as input high material costs are increasing and output has been affected by the ailing US dollar.

High material costs, skyrocketing bank interest rates and the falling US dollar have strongly affected local wood producers and exporters, said Le Quy Hong, chairman of the provincial Forest Products Processing Association.

Recently, more than 160 enterprises and companies processing and trading wood have been set up in the province. One third of them are exporters. Wood products in Dong Nai are mostly exported to the EU, the US and Japan.

In 2000, the provincial wood export turnover was $20 million. This number increased to $60 million in 2006.

Recently, the association has been co-operating with some banks to help local companies financially. This is one of the measures to help companies.

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