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outlets for certain products, said Hoai. 460,000ha, equivalent to about 27 percent of the total area,
South Korea offers logistical advantages with a relatively under management.
short sea transport distance and strong trade relations. Yet, Deputy Minister of Agriculture and Environment Nguyễn
Vietnamese companies have so far mostly supplied low-cost Quễc Trễ said that of the nearly 460,000ha allocated by forestry

wood pellets and plywood to this market. companies, 68 percent was allocated under Decree 01/CP,
Even the EU, with 27 member states and covered by the which pertains to land allocation for agricultural, forestry and
EVFTA, wood products export accounts for only 3–4 percent aquaculture production by State-owned enterprises.
of Vietnam’s total wood exports. Additionally, 29 percent of the land was allocated under
Some other markets, such as Russia, the Middle East and Decree 135/2005/NĐ-CP.
countries within ASEAN also need to be studied, opened up Just three percent of the allocated land was governed by
and activated. These markets still hold untapped potential Decree 168/2016/NĐ-CP, which regulates land allocation for
that Vietnamese wood exporters must seize to compensate forests, orchards and water surface areas within the authority
for the substantial gap that may arise from US tariff policies. of special-use forest management boards, protective forests

In addition, wood and forest product exporters must and one-member limited liability forestry companies owned
prepare full legal documentation to prove the legal origin of by the state.
their timber materials. It is essential to maintain transparency The Ministry’s representative said that land allocation
in the production process and raw material sourcing. has brought about positive changes in forest protection and
At the same time, businesses should research to change forestry development. However, the policies' implementation
the structure of raw materials sources and production structure has exposed some problems.
and make a shift to domestic plantation wood materials to This led to a decision by the Politburo in December

minimise dependence on raw materials and semi-finished 2024 to issue Conclusion 103-KL/TW, which directs further
products from outside the country. improvements to institutional frameworks, especially legal
documents concerning land use, public asset management
Forestry sector to revise regulations to address and the swift restructuring and modernisation of agricultural
challenges and streamline governance and forestry companies.
Land allocation policies have brought about positive changes A report by the Vietnam Association for Agricultural
in forest protection and forestry development and have helped Economics and Rural Development titled 'The study and
to mobilise social resources, especially local communities, to
join state forestry companies in management efforts.

However, policy implementation has also exposed significant Flickr
gaps and limitations, particularly in land and forest management.
The forestry sector in Vietnam is looking to develop a
decree aimed at amending current regulations and resolving
issues, particularly those related to governance at both the
central and local levels, while addressing difficulties in the field.
According to the Ministry of Agriculture and Environment,

after 30 years of implementing land allocation policies,
forestry companies across the country have placed nearly