Expectations for a breakthrough in the wood processing industry.

With its advantage of large production forest areas and abundant timber resources, Thai Nguyen is promoting the development of the wood processing industry, gradually forming a closed value chain from forest planting, harvesting, processing to consumption. After the merger, the province's timber area and production have increased significantly, creating a foundation for Thai Nguyen to become the wood processing center of the northern midland and mountainous region.

The province has vast forests providing raw materials for the wood processing industry.

Forests as a "launching pad" for the processing industry.

Following the merger, Thai Nguyen has over 578,000 hectares of planned forest land, of which the area of ​​large timber forests is expected to reach over 31,400 hectares by the end of 2025. This is a key source of raw materials, ensuring the stable and sustainable development of the province's forest product processing industry.

Mr. Nguyen Hai My, Deputy Director of the Department of Agriculture and Environment, said: The former Bac Kan province has outstanding forestry potential with 405,000 hectares of forest land planned for the 2021-2030 period, more than double that of the former Thai Nguyen province (173,000 hectares). The merger of the two provinces has given Thai Nguyen a great advantage in developing raw material areas to serve the wood processing industry.

During the period 2021-2025, the entire province of Thai Nguyen (formerly) planted 20,800 hectares of concentrated forest, achieving 104.7% of the plan. At the same time, the province effectively implemented the project to plant 1 billion new trees, with results exceeding 1.4 billion trees, equivalent to 202% of the plan.

In particular, Thai Nguyen also focuses on developing large timber forests with species such as green lim, lat hoa, and green doi, which have long harvesting cycles and economic value many times higher than small timber. By the end of 2025, the area of ​​large timber forests is expected to reach over 31,400 hectares, nearly 4.5 times the initial plan, of which more than 30,000 hectares will be converted from small timber forests to large timber forests.

In addition, the province encourages people and businesses to transform their forest planting models, while promoting FSC certification – a “green passport” that helps Thai Nguyen's wood products conquer demanding markets such as the US, Japan, and the EU.

Mr. Nguyen Kim Quyet, Vice Chairman of the People's Committee of Van Han commune, said: The commune currently has 5,500 hectares of forest land. From 2020 to the present, the locality has planted more than 3,000 hectares of new forest, of which over 500 hectares are large timber forests. With 160 households granted FSC certification, this has contributed to increasing the value of planted forest timber and expanding access to export markets.

In the northern region, implementing Resolution No. 10/NQ-TU dated April 22, 2021, of the former Bac Kan Provincial Party Committee, localities have achieved the goal of planting 100,000 hectares of forest, with 90% of the harvested timber processed on-site. This has created sustainable livelihoods for the people while providing a high-quality source of raw materials for the wood processing industry.

People in Thuong Minh commune are focusing on harvesting timber from planted forests.

Mr. Ly Van Ba, Head of My Vy village, Thuong Minh commune, shared: The entire village has more than 300 hectares of forest land with over 70 households, on average each household owns 1 to 2 hectares of forest, some households own up to more than 10 hectares. In recent years, thanks to reforestation, the appearance of the village has changed significantly with many spacious houses built thanks to the forest.

Developing diverse and high-quality forest resources not only ensures stable growth for the timber processing industry but also contributes to preserving the "green lungs" of the northern mountainous region. This is the foundation for Thai Nguyen to move towards sustainable forest management and develop a modern and environmentally friendly forestry economy.

Aiming to become the region's wood processing hub.

Thai Nguyen province is not only expanding its raw material forest area but also focusing on improving labor potential, infrastructure, and land planning to build concentrated wood processing industrial zones. The province currently has over 860 forest product processing and trading establishments, of which Bac Kan (formerly) has 243, while Thai Nguyen dominates with 618 establishments, including 10 enterprises, 6 cooperatives, 51 companies, and 551 households specializing in wood production.

Over the years, Thai Nguyen has also attracted many large-scale wood processing projects, such as: Dongwha Vietnam Company with an MDF board production plant with a capacity of 300,000 m³/year and an investment of 164 million USD; Hoang Van Thu Paper Company with a capacity of 100,000 tons/year and an investment of 599 billion VND; and Viet Bac Plywood Company with an investment of over 90 billion VND.

Thanh Binh Industrial Park is home to four major wood export companies: Lechenwood Vietnam Co., Ltd., Govina Investment Joint Stock Company, Hong Ngoc Production and Trading Co., Ltd., and Anh Binh Plywood Co., Ltd.

Wood processing at Govina Investment Joint Stock Company (Thanh Binh Industrial Park).

Thanks to the strong development of the wood processing industry, thousands of workers in the province have stable jobs with an average income of 6-9 million VND/month. Many businesses have invested in modern production lines and expanded exports to demanding markets such as the US, EU, Japan, South Korea, and Malaysia, contributing to enhancing the brand of Thai Nguyen wood in the international market.

Ms. Nong Thi Kiem, from Lechenwood Vietnam Co., Ltd., stated: With over 372,000 hectares of forest and a timber production of over 305,000 cubic meters, mainly in the northern part of the province, Lechenwood Vietnam Co., Ltd. has invested in production lines for plywood and flooring products, primarily for export to the US market. The company's operations provide employment for approximately 300 workers, mostly local residents, with incomes ranging from 6 to 15 million VND per person per month.

The synchronized development of raw materials, infrastructure, and human resources has created a solid foundation for the wood processing industry in Thai Nguyen. Attracting large-scale projects and expanding exports not only enhances product value but also boosts the local economy and improves the lives of workers.

Developing FSC-certified raw material areas plays a key role in the strategy of expanding the export market for high-end wood products. Recognizing this, Thai Nguyen province has issued many policies to encourage businesses to closely link with forest growers, ensuring a stable, transparent, and sustainable long-term supply of raw materials.

Forestry officials are instructing residents of Phu Luong commune on techniques for caring for seedlings to ensure high-yield reforestation.

Mr. Nguyen Tien Cuong, Deputy Director of the Department of Industry and Trade, emphasized: "We are coordinating with the agricultural sector to clearly identify forest planting areas to serve processing plants, and at the same time, encouraging people to sell timber directly to businesses. This approach both enhances product value and forms a closed, efficient supply chain. Compared to raw logs, processed timber for export has significantly higher added value."

Sharing the same view, Mr. Nguyen My Hai, Deputy Director of the Department of Agriculture and Environment, said: Thai Nguyen province aims to have approximately 40,000 hectares of forest certified by FSC by 2030, with the northern region of the province striving to achieve FSC certification for 8,000 hectares by the end of 2025. This is an important foundation for the province's plantation timber to meet the stringent quality and sustainability requirements of international markets.

With its abundant forest resources, increasingly improved transportation infrastructure, and the experience of traditional craft villages, Thai Nguyen possesses all the conditions to become the "capital" of wood processing in the northern midland and mountainous region. This development not only creates a strong impetus for local economic growth but also contributes to raising people's incomes and increasing the country's timber export turnover.

Some results and indicators of the wood processing industry in Thai Nguyen province:

• Thai Nguyen province plans to allocate over 578,000 hectares of land for forestry.

• The entire province has over 860 wood processing facilities.

• Average income of wood processing workers: 6-9 million VND/person/month

• The goal is to have 40,000 hectares of land in the province certified by FSC by 2030.

• The output of raw timber from the northern area of ​​the province reaches 300,000-350,000 m³/year.

• Forming a value chain from planting - harvesting - processing - exporting

Source: https://baothainguyen.vn/kinh-te/202508/ky-vong-dot-pha-nganh-che-bien-go-8004f89/