Unstable wood supply frustrates furniture factories, despite overseas interest

Jan 14th at 13:50
14-01-2014 13:50:40+07:00

Unstable wood supply frustrates furniture factories, despite overseas interest

Lao wooden furniture has become popular with foreign consumers following the Lao government's promotion of the products' export, according to a business representative.

The Lao Furniture Association announced the spike in business at its annual meeting, held at the Lao National Chamber of Industry and Commerce in Vientiane yesterday. The meeting was chaired by the association's president, Mr Khamphay Somsana, and attended by association members.

The association reported on its achievement over the past year and set up a future work plan. It also discussed the preparation of its members for the upcoming third Made in Lao fair, which will be held from January 15 to 19 in Vientiane.

The international market has responded well to Lao wooden furniture after the government has promoted the export of the products at overseas events in the past few years, according to the association's report.

“Many Lao furniture makers received a good response from consumers. They also found success in business operations. One of the best reflections of their success is that sometimes they can not produce enough goods to meet the demand of the market,” the report reads.

The Lao government announced a ban on the export of unprocessed timbers five years ago, hoping to increase the supply of raw materials to timber processing plants and wooden furniture factories in Laos.

The government hoped this would allow more value to be added to the natural resources before export.

The association reported that with support from the government it has been able to send its members to participate in six exhibitions both in Laos and overseas, including in Thailand and China.

The exhibitions provided opportunities for wooden furniture makers to exhibit their products and look for potential business partners to sell their wares.

Foreign business partners have expressed interest in ordering Lao furniture because of its quality design and the fact it is made from real timber rather than artificial materials.

Furniture makers said one of the major challenges in Laos was finding a stable supply of timber. Without it they are often unable to sign big deals with business partners because their output is inconsistent.

“We rely on timbers as raw material from unsecured sources. Supply of forest timbers is always insufficient,” one of the furniture factory owners said.

He said despite the government's policy to stop the export of unprocessed timbers supply to domestic factories was still insufficient, partly due to enduring illegal export.

He said the government should enforce its ban more strictly to help secure the supply of timber to domestic furniture manufacturers, which would add value to the export of timber resources and create jobs for Lao people.

vientiane times



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