"Leading bird" of Binh Thuan Forestry industry

Binh Thuan Forestry Company Limited has taken proactive and innovative steps, not only establishing its position in the market but also making significant contributions to the local economy and society, especially in the planting and protection of forests. This achievement is not due to luck but is the culmination of hard work and ingenuity.

Binh Thuan Forestry One-Member Limited Liability Company.

Overcoming difficulties

Binh Thuan Forestry Company Limited is a 100% state-owned enterprise entrusted by the Provincial People's Committee with the management, protection, and planting of forests and industrial crops, ensuring harmonious benefits and sustainable development in all three areas: economic , social, and environmental. In 2015, Binh Thuan Forestry Company Limited was re-established through the merger of two enterprises: Ham Tan Forestry Company Limited and Binh Thuan Forestry Company Limited. Over the past eight years, despite many ups and downs, the company has overcome difficulties and achieved stable development thanks to the astute leadership, the support of various departments and agencies, and the encouragement and support from the Provincial People's Committee.

Accordingly, one of the effective strategies the company has implemented is gradually shifting from commercial forestry to developing large-scale timber forests for processing and export. In previous years, due to inadequate and undirected planning for raw material cultivation, planted forests were primarily harvested for raw sale, resulting in low efficiency. The company boldly implemented breakthroughs based on developing several strong sectors such as wood processing and timber production. Through this, the company has formulated a strategy for planting raw material forests to serve its own needs and for direct processing, thereby enhancing the efficiency of production from planted forests. This astute approach has transformed the company's operations. To date, Binh Thuan Forestry Company Limited is the only company in Binh Thuan province engaged in commercial forestry and currently holds a significant advantage in managing nearly 18,000 hectares of forest land. The company currently has 10,000 hectares of planted forest, including 5,000 hectares of acacia, 3,000 hectares of eucalyptus, and 2,000 hectares of rubber. The area of natural forest is nearly 4,000 hectares. These are crucial foundations for the company's stability and development. From there, the company provides society with a variety of FSC-certified, traceable forest products, offering diverse designs, a reputation for quality, and reasonable prices.

Mr. Le Ngoc Cuong - Chairman of Binh Thuan Forestry One-Member Limited Company.

With its woodworking and interior decoration business, the company has also restructured its wood processing system and adopted a professional management style, along with reasonable technical improvements to reduce material waste and utilize readily available domestic resources. The company's products are both familiar to Vietnamese life and modern. Currently, the company offers nearly 100 types of wood products, including high-end tables, chairs, cabinets, beds, living room sets, sofas, and benches. The products are displayed indoors and outdoors in a wide variety of styles. The designs are innovative, luxurious, and aesthetically pleasing. Contracts for manufacturing and processing with customers inside and outside the province are increasing, especially large-volume orders from tourist areas and resorts in Ham Tien and Mui Ne (Phan Thiet).

In 2023, the company continued to seek solutions to attract more foreign investment, joint ventures, partnerships, and investment cooperation in the fields of wood processing and high-tech forestry seedling production to enhance competitiveness; protect natural and planted forests, prevent encroachment on state-owned land managed by the company; and promote business and service activities to increase revenue. Currently, the company's average annual revenue is approximately 60-70 billion VND.

Continue to promote development

Forest development is considered a key task, objective, and driving force for the company's development, both in the present and the long term. However, the company is currently facing many difficulties. These include fluctuating weather and climate conditions, coupled with nutrient-poor soil, which are directly impacting the quality of planted forests and the business cycle. Furthermore, in 2023, the price of timber from planted forests fluctuated and continuously decreased by 20-25% compared to market prices at the end of 2022, making it difficult for the company to sell its planted forest products. In addition, the retail market for the company's wood products has experienced a significant decline due to fierce competition from cheaper products and reduced purchasing power compared to previous years as the economy recovers after the Covid-19 pandemic. Simultaneously, the pressure from land encroachment is becoming increasingly complex.

However, with the company's vision of becoming a major forestry company in the region, aiming to exploit forest land resources and integrate the value chain from seedling cultivation - planting - processing - services to improve the efficiency of production and business operations, the company has planned to seek market and marketing solutions to increase revenue, focusing on wood products and products from the company's planted forests. The company will allocate sales plans for planted forest plots at appropriate times to achieve maximum revenue. Internal regulations will be refined to avoid risks in production and business, and to ensure financial transparency. In particular, research and application of scientific and technological advancements, new plant varieties, and silvicultural methods will be pursued to improve the productivity and quality of crops, and to enhance management and protection to increase economic efficiency per unit and area.

Regarding employee policies, company leaders believe that employees are the most valuable asset and determine the success or failure of the business. Therefore, the company always has policies to show special care for its staff and workers, such as: regular health check-ups, training, and professional development through sending employees to short-term and long-term training courses. Currently, the average income is 13.07 million VND/person/month.

Looking back on its journey, besides fulfilling its reforestation mission and generating economic benefits, Binh Thuan Forestry Company Limited has also brought significant benefits to the environment and society, such as: improving the ecological environment, greening barren land, regulating the climate, storing and regulating river and stream water, preventing erosion, etc., contributing to ecosystem regeneration. In addition, the company has created jobs for thousands of seasonal workers in the locality; carried out many social activities, contributing hundreds of millions of VND to charitable and philanthropic activities in the areas where the company operates.

T. NHAN

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