Research Nester published a report titled “Vietnam Wood Chips Market: Demand Analysis & Opportunity Outlook 2031” which delivers detailed overview of the Vietnam wood chips market in terms of market segmentation by tree species, raw material, variety, application, end-use industry, and by region.
Further, for the in-depth analysis, the report encompasses the industry growth indicators, restraints, supply and demand risk, along with detailed discussion on current and future market trends that are associated with the growth of the market.
The Vietnam wood chips market is anticipated to grow with a CAGR of 11.3% over the forecast period, i.e., 2022 – 2031. The market is segmented by variety into forest chips, recycled chips, wood-residue chips, and sawing residue chips, out of which, the forest chips segment is projected to garner the largest revenue of USD 10.1 Million by the end of 2031. Additionally, in the year 2021, the segment generated a revenue of USD 3.6 Million.
The Vietnam wood chips market is estimated to garner a revenue of USD 24.4 Million by the end of 2031, up from a revenue of USD 8.4 Million in the year 2021. Increasing exports of forest products, followed by the surge in demand for wood pulp in the nation, backed by the rising demand for paper and paper products, are some of the major factors anticipated to drive the growth of the market during the forecast period.
Geographically, the Vietnam wood chips market is segmented by region into North, Central, and South. Out of these, the market in Central Vietnam is expected to garner the largest revenue of USD 11.4 Million by the end of 2031. Additionally, in the year 2021, the market in the region generated a revenue of USD 4.1 Million.
Rising Demand for Energy to Drive the Growth of the Market
The total consumption of energy in the industrial, residential, and commercial sector in Vietnam grew from 10246 TJ, 8294 TJ, 2113 TJ, and 1616 TJ respectively in the year 1990 to 408942 TJ, 233266 TJ, 87300 TJ, and 23735 TJ respectively in the year 2019, according to the statistics by the International Energy Agency (IEA).
The demand for energy in Vietnam is growing significantly, backed by the increasing urbanization, surge in the number of industries being deployed in the nation, as well as the increasing dependence on electricity. As a result, there is a rising need for different energy sources that can contribute towards the production of energy. Wood chips are an eco-friendly source of fuel which are used widely in the production of energy, backed by its eco-friendly and cost-effective properties. Hence, the growing demand for wood chips for use in the production of energy is expected to drive the growth of the market in the coming years.
However, the availability of low-cost alternatives is expected to operate as key restraint to the growth of Vietnam wood chips market over the forecast period.
This report also provides the existing competitive scenario of some of the key players of the Vietnam wood chips market which includes company profiling of LEC Group, Thanh Vin Co., Ltd, Van An Global Trading Co., Ltd., Vietnam Forestry Corporation (VINAFOR), Oji Holdings Corporation, Marubeni Corporation, Mitsui & Co., Ltd., and others. The profiling enfolds key information of the companies which encompasses business overview, products and services, key financials and recent news and developments. On the whole, the report depicts detailed overview of the Vietnam wood chips market that will help industry consultants, equipment manufacturers, existing players searching for expansion opportunities, new players searching possibilities and other stakeholders to align their market centric strategies according to the ongoing and expected trends in the future.