1. CENTRAL AND WEST AFRICA

  Overall market situation
Trading activity continues at a slow pace with stable to
weak demand across most regions and limited movement
in prices. European market remains dull as ever, overall
sentiment remains cautious and prices are unchanged. In
the Middle East markets there has been a slight recovery
in Okoume demand as enquiries are arriving from
traditional buyers. Red species continue to perform well
maintaining stable volumes and steady interest.

In China market conditions remain unchanged with buyer
interest confined to Belli, Ovangkol and Okan. In recent
weeks orders from buyers for the Philippine market have
been slowing. The recent severe typhoons have ravaged
many Philippine islands and this may trigger higher timber
imports for reconstruction.

Market activity remains stable in Viet Nam with consistent
orders and no major fluctuations in volumes or price.

Regional round up

Gabon
Gabon’s forestry sector is facing a very difficult period
due to the ongoing activities of the government Task Force
investigating companies’ financial and social obligations.
This has disrupted operations across the supply chain
affecting operators, subcontractors, financial institutions,
Customs and shipping companies alike.

It is reported that a major company remains fully blocked
as it discusses a 40% payment of its sizeable assessment as
demanded by the Task Force. Other companies which
underwent investigation have resumed operations but the
weather is slowing forest and transport operations.

Opertators say the Task Force’s actions, while intended to
restore fiscal discipline, are crippling short-term
production and undermining investor confidence and have
also resulted in a drop in Customs revenue.

In November a vessel arrived at Libreville expecting a
cargo of logs but departed without loading, an unusual
event since the vessel typically carries around 2,500 cu.m
per voyage. One shipment was missed entirely because the
log supplier remained under Task Force sanctions, which
includes blocking movement of products. The GSEZ log
park in Nkok is nearly depleted of Okoume, with only
about 1,500 cu.m of mixed species remaining (mainly
Bosse, Sapelli, Padouk, Azobe and Okan).

November marks the mid-rain period; rains continue up-
country and are expected to continue until late December.
Transport conditions are improving as key sections of the
national road network undergo repair.

A government-financed 3,000 km rehabilitation
programme supported by the Islamic Bank and African
Development Bank is under way.

A new cross-country route is planned to connect to the
future Mayumba Port Project. Chinese funding
commitments for infrastructure have reportedly fallen
short of earlier promises.

Cameroon
Production and trade remains quiet at present, a reflection
of the ongoing rainy season. Harvesting conditions are
expected to improve in the coming months as the dry
season begins allowing production and transport to
recover. While the presidential election is over business
sentiment remains reserved. Before the elections several
Chinese operators suspended activities but now these firms
are resuming production

Harvesting is now limited due to the ongoing rainy season.
In several regions, particularly the Littoral (Douala) West
and North Cameroon, log transport has been delayed.

Sawmills report that bad weather continues to limit log
inflows forcing production slowdowns. Laterite roads are
under rain-barrier control, meaning no truck movement
during heavy rain. Rail transport remains functional with
no major disruptions reported.

Container availability remains sufficient across major
ports. Shipping and dispatch operations continue without
major interruptions though volumes are reduced due to
lower production.

Most operators anticipate some recovery production as the
dry season arrives, however, without firm demand in
international markets or improved domestic confidence the
short-term outlook remains uncertain and cautious.

Republic of the Congo
Operations in Congo continue to move slowly influenced
by both the upcoming elections and a difficult financial
environment. Investor confidence is said to be low and
most operators are cautious on investment and production.

Delays in exports are causing cash flow problems for
companies and missed shipping schedules and log
shortages are an issue for European Azobe importers
which have contract obligations. Overall, no operator is
satisfied with the current situation.

The country’s timber sector continues to operate at a
moderate pace affected by weak international demand,
particularly in China and ongoing political and financial
uncertainty ahead of next year’s elections. While
production remains steady, export activity is constrained
by limited orders and long stock rotations. The main
commercial species remain Sapelli, Ayous, Iroko, Padouk,
Azobe and Okoume (in the northern regions). Operators
are maintaining log stocks for 2–3 months of sawmill
activity.

Timber from northern Congo continues to move to Douala
Port over long distances. Rail and road infrastructure from
central Congo to Pointe-Noire remains operational with no
new fee or toll adjustments reported.

Port activity in Pointe-Noire is described as steady, though
there are minor vessel congestion delays reflecting overall
tight port capacity rather than timber volume surges.

European demand remains subdued with limited activity in
traditional hardwood markets. China continues to reduce
log orders, focusing instead on existing stocks and
alternative suppliers.

Domestic operators remain focused on maintaining
production levels while hoping for firmer demand in early
2026. The overall sentiment in Congo’s timber market
remains cautious but stable, characterised by adequate
operational capacity yet limited export opportunities.

2. GHANA

  New law to stop mining in forest reserves
The Minister of Lands and Natural Resources, Emmanuel
Armah Kofi-Buah, has presented a new Legislative
Instrument (L.I. 2505) in Parliament that seeks to prevent
mining in the country’s forest reserves.

The new Instrument, also known as the Environmental
Protection (Mining in Forest Reserves Revocation
Instrument, 2025) will revoke L.I. 2462 which was
enacted in 2022 to ensure that environmental management
principles are legally enforced in mining operations in
forest reserves.

Speaking to the press the Minister said the enormous
public outcry on illegal mining led to an amendment of L.I
2462, to delete Regulation item 3.2 to effectively limit the
powers of the President to allow mining forest reserves.

The Minister said in light of this and after consultations
with experts it had become clear that “we could
completely revoke that L.I. 2462 and to use the guideline
that was enacted in 2020.

The legislation, when approved, will permanently strip the
presidency of powers to issue mining permits in protected
forest areas. The Instrument will form part of
government’s broader reforms aimed at curbing illegal
small-scale mining (galamsey) and strengthen the
protection of the environment by reinforcing Ghana’s
commitment to sustainable resource management and
environmental conservation.

Mr. Kofi-Buah said the current administration is
committed to demonstrating to Ghanaians that government
is ready to protect the environment, forests and water
bodies.

Meanwhile, trade bodies and environmentalist including
the Ghana Federation of Labour (GFL), have applauded
government’s decision to revoke Legislative Instrument
L.I. 2462 describing it as a bold and commendable step in
the ongoing national fight against illegal mining.

The Ghana Institute of Foresters said they will fight
against any government policy that is contrary to their
mandates in safeguarding the country’s forests if
government fails to hold proper consultative dialogues for
a robust law that protects the environment.

See:https://www.graphic.com.gh/news/general-news/new-l-i-to-
stop-mining-in-forest-reserves-laid-in-parliament.html
and
https://www.myjoyonline.com/foresters-to-resist-l-i-2501-if-
proper-consultations-arent-made-to-safeguard-forests-reserves/

Sliced veneer exports record year-on-year growth
The Timber Industry Development Division (TIDD) of the
Forestry Commission has reported that Ghana’s wood
product exports for the period from January to September
2025 plunged to 160,974cu.m at a value of Eur74.08
million. Compared to the same period last year this
showed decreases of 23% and 20% in volume and value
respectively.



The data revealed that of the seventeen wood products
exported during the period teak, wawa, ceiba, denya,
dahoma, ofram, asanfina, chenchen and makore featured
prominently in the exports of sawnwood. Air and kiln dry
sawnwood, billets and plywood (including overland
exports) contributed 93,180 cu.m, 23,450cu.m, 13,605
cu.m and 10,908 cu.m respectively to the total volume of
timber exports for the first nine months of the year.

Compared to the same period in 2024 the volume and
value of wood product exports declined, however, sliced
veneer exports for both international and regional market
rose 16% in volume and 27% in value.

Sliced veneer (including overland exports) accounted for
3% and 9% of the overall total export volume and value
respectively for the period. Italy was the main sliced
veneer importer registering about 35% of the total export
volume. This was followed by China with 10% and
Denmark 8%.

Of regional markets the lead importers of sliced veneers
included Togo, Burkina Faso and Cote D’Ivoire. The
overall average unit price of the product within the sub-
region surged from Eur820/cu.m in 2024 to Eur916/cu.m
in the first nine months of this year.

The major species for sliced veneer exports included
asanfina (32%), chenchen (20%), koto (14%) and sapele(
8%) with twenty-three other species accounting for the
balance.

In the first nine months of this year tertiary wood products
accounted for 5% (Eur3.77 million) of total revenue
against 5% (Eur4.52 million) for January to September
2024. Secondary wood products also recorded an 11%
higher in value over 2024 reaching Eur30.06 million.

Ghana to host 2025 renewable energy forum
The Association of Ghana Industries (AGI), in
collaboration with the Africa Solar Industry Association
(AFSIA), has announced its partnership to host the 2025
edition of the Renewable Energy Forum Africa (REFA) in
Accra from 3-4 December 2025.

Speaking at a press briefing in Accra, Mr.
Kwame Jantuah, Chairman of AGI’s Energy Sector,
underscored the importance of renewable energy in
Ghana’s economic transformation. He noted that AGI
would leverage its extensive industrial network to promote
REFA 2025, facilitate connections between investors and
local businesses and advocate for policies that support
renewable energy adoption.

The event will bring together key stakeholders from across
Africa and beyond, including investors, developers,
policymakers and technology providers. It is expected to
catalyse investment, foster partnerships and accelerate
Ghana’s transition to a sustainable energy future.

See: https://gna.org.gh/2025/11/ghana-to-host-refa-2025-in-
accra-agi-and-afsia-join-forces-for-a-greener-future/

Ghana’s reports 8% inflation in October 2025
According to data from the Ghana Statistical Service
(GSS) inflation dropped further to 8.0% in October 2025
marking the 10th consecutive monthly decline and the
lowest rate since June 2021.

The latest figure represents a continued easing from 9.4%
recorded in September 2025.

The sustained downward trend is attributed to the impact
of a stable currency, easing fuel prices and improved
macroeconomics.
 
But these have not yet reflected deeply in the prices of
general goods and services which are still on the high side.

Speaking at the 2025 PwC Cyber Forum, the Country
Senior Partner of PwC Ghana, Vish Ashiagbor, expressed
optimism that Ghana’s inflation will continue on its
downward trend in the coming months citing growing
economic stability and improved coordination between
fiscal and monetary policies.

See: https://www.myjoyonline.com/october-inflation-slows-to-
four-year-low-of-8/
and
https://www.myjoyonline.com/pwc-ghana-predicts-a-further-fall-
in-inflation/

3. MALAYSIA

  United States and Malaysia – tarff Fact Sheet
In a Fact Sheet the US Trade Representative reports that
the United States and Malaysia reached an Agreement on
Reciprocal Trade, a legally binding agreement that will
provide American exporters with access to Malaysia’s
market while bolstering U.S. national and economic
security.

On tariffs, Malaysia has committed to provide significant
preferential market access for US products exported to
Malaysia across many sectors, including chemicals,
machinery and electrical equipment, metals, passenger
vehicles, dairy, horticultural products, poultry, pork, rice
and fuel ethanol which will create commercially
meaningful market access opportunities for a significant
range of U.S. exports.

The United States will maintain a 19% reciprocal tariff
rate for imports from Malaysia except for identified
products from the list set out in Annex III to Executive
Order 14,346 of 5 September 2025, Potential Tariff
Adjustments for Aligned Partners, which will receive a
zero percent reciprocal tariff rate. Malaysia has
committed to address a range of non-tariff barriers.

Malaysia’s trade with the United States surged 15.4% to
RM 270.88 bil between January and September this year,
up from RM 234.68 bil in the same period last year.

See: https://ustr.gov/about/policy-offices/press-office/fact-
sheets/2025/october/fact-sheet-united-states-and-malaysia-reach-
agreement-reciprocal-
trade#:~:text=The%20United%20States%20will%20maintain,zer
o%20percent%20reciprocal%20tariff%20rate.
and
https://www.whitehouse.gov/briefings-
statements/2025/10/agreement-between-the-united-states-of-
america-and-malaysia-on-reciprocal-trade/
and
https://theedgemalaysia.com/node/775418

Financing forest conservation and environmental
protection initiatives
The Malaysian government intends to expand the Forest
Conservation Certificate (FCC) instrument to encourage
broader participation and contributions toward forest
conservation and protection efforts.

Deputy Prime Minister, Fadillah Yusof, said the FCC is a
non-market-based green financing instrument introduced
by the government to address climate change and
safeguard the nation’s strategic natural assets.

Launched in May last year, the FCC, developed by the
Malaysian Forest Fund (MFF) since 2022, serves as a
mechanism to finance sustainable forest conservation and
environmental protection initiatives.

See:
http://theborneopost.pressreader.com/article/281629606512584

Guidance document for Sarawak forestry projects
A guidance document on ‘Interpreting Environmental
Impact Assessment (EIA) Terms and Conditions for
Forestry Sector Projects in Sarawak’ was officially
launched to support the State’s sustainable development
agenda. Premier Abang Johari Tun Openg launched the
document during the recent state-level National
Environment Day 2025 celebration.

Jointly developed by the Natural Resources and
Environment Board (NREB) and the Sarawak Timber
Association’s Environmental Compliance Audit (ECA)
Working Group with technical input from the Forest
Department Sarawak (FDS), the guidance document
serves as an important reference to help the forestry sector
better interpret and compile EIA reports.

By clarifying these terms and conditions, the document
directly supports the implementation of the ECA, a key
regulatory mechanism under the Natural Resources and
Environment (Audit) Rules, 2008, said NREB and STA in
a joint statement.

The document also helps bridge the gap between
regulatory requirements and on-ground practices, ensuring
that environmental safeguards are translated into
measurable actions. The guidance document complements
the existing Guidelines for Natural Resources and
Environment (Audit) Rules, 2008 by providing sector
specific interpretations and reference tables for two key
forestry activities in hill forests in Sarawak, namely timber
harvesting and industrial forest plantation development.

See: https://sta.org.my/index.php/2-website/66-publication
and
http://theborneopost.pressreader.com/article/281552297103323

Mersk distribution centre
The logistics group AP Moller–Maersk A/S has launched
its largest contract logistics facility in the Asia-Pacific
region, the Maersk Mega Distribution Centre in Shah
Alam, Malaysia.

Maersk said the 180,000 sq.m. facility expands its
warehousing in Malaysia by more than 30% and is
designed to handle a range of commodities including fast-
moving consumer goods. The facility is about 340km from
the Port of Tanjung Pelepas in Johor, which serves as
Maersk’s largest transshipment hub in Asia.

“Malaysia’s strategic location between the Indian Ocean
and the South China Sea means it is at the crossroads of
major maritime trade routes, putting the country in an
ideal position to act as a hub for shipping and logistics,”
said Maersk Contract Logistics head of Malaysia P’ng
Tean Hau.

See: https://theedgemalaysia.com/node/777648

4.  INDONESIA

  Export Benchmark Price (HPE) for November 2025
The following is a list of Wood HPE from November 1 to
November 30, 2025. Note there are no changes compared
to October.

Veneers
Natural Forest Veneer US$613/cu.m
Plantation Forest veneer US$754/cu.m
Wooden Sheet for Packaging Box US$1,041/cu.m

Wood Chips
Woodchips in chips or particles US$90/tonne
WoodChips US$97/tonne

Processed Wood
Processed wood products which are leveled on all four
sides so that the surface becomes even and smooth with
the provisions of a cross-sectional area of 1000 mm2 to
4000 mm2 (ex 4407.11.00 to ex 4407.99.90)

Meranti (Shorea sp) US$1,016/cu.m
Merbau (Intsia sp) US$869/cu.m
Rimba Campuran (Mix Tropical hardwood) US$688/cu.m
Eboni US$1,711/cu.m
Teak US$3,243/cu.m
Pinue and Gmelina US$717cu.m
Acacia US$638/cu.m
Sengon (Paraserienthes falcataria) US$1,327/cu.m
Rubber US$321/cu m
Balsa (Ochroma sp), Eucalyptus. US$544/cu.m
ungkai (Peronema canescens) US$1,298s/cu.m

Processed wood products which are leveled on all four
sides so that the surface becomes even and smooth of
Merbau wood with the provisions of a cross-sectional area
of 4000 mm2 to 10000 mm2 (ex 4407.11.00 to ex
407.99.90) = US$1,500/cu.m

See: https://jdih.kemendag.go.id/peraturan/keputusan-menteri-
perdagangan-republik-indonesia-nomor-2139-tahun-2025-
tentang-harga-patokan-ekspor-dan-harga-referensi-atas-produk-
pertanian-dan-kehutanan-yang-dikenakan-bea-keluar-dan-tarif-
layanan-badan-layanan-umum

 SVLK ensures legality
The Indonesian Ministry of Forestry has reaffirmed that all
timber exported from Indonesia is verified as legal and
sustainable through the Timber Legality and Sustainability
Assurance Programme (SVLK). According to Erwan
Sudaryanto, Director of Forest Product Processing and
Marketing Development, the SVLK demonstrates
Indonesia’s commitment to ensuring that exported forest
products are both legally sourced and produced through
responsible and socially equitable practices.

The system is supported by the National Forest
Monitoring System (SIMONTANA) and involves
independent third-party verification under the supervision
of Conformity Assessment Bodies and a consortium of
NGOs to maintain its credibility.

Erwan also addressed recent concerns raised by nonprofit
organisations claiming that Indonesian timber sold in
European markets may still come from deforested areas.
He clarified that under Indonesian law, deforestation refers
specifically to the permanent conversion of forested land
into non-forest uses and not all forest clearing constitutes
illegal activity.

The government distinguishes between unauthorised
deforestation and officially permitted land use changes
which may occur for forest plantations, infrastructure
projects or other national development purposes. This
differentiation, Erwan emphasised, ensures that
Indonesia’s forest management practices remain
transparent, lawful and aligned with national and
international sustainability standards.

In related news, the Director General of Sustainable Forest
Management, Laksmi Wijayanti, said the harvesting of
timber is strictly regulated through various permits
including Forest Utilization Business Permits (PBPH),
Social Forestry and Timber Utilisation Permits for Non-
Forestry Activities (PKKNK) in other land use areas.
These licensing frameworks require that all forest-related
activities such as land preparation, plantation development
and infrastructure projects be conducted with official
authorisation.

The Director of Forest Product Processing and Marketing
Development, Erwan Sudaryanto, said the SVLK
continues to be enhanced to meet global standards,
particularly those related to deforestation-free trade, while
ensuring fairness for domestic businesses and
communities.

The Ministry encourages public participation in
monitoring and improving transparency through upgraded
information systems, aiming to strengthen confidence
among both local and international stakeholders in the
legality and sustainability of Indonesian timber.

See: https://www.antaranews.com/berita/5196609/kemenhut-
pastikan-legalitas-ekspor-kayu-indonesia-lewat-verifikasi-svlk

Green energy from legally and sustainably managed
forests
The Government reaffirmed its strong commitment to
preserving forests while ensuring that the biomass industry
especially wood pellet production operates legally and
sustainably. All forest-based products in Indonesia comply
with the Timber Legality and Sustainability Assurance
Program (SVLK), which guarantees the legal and
sustainable origin of raw materials and is recognised by
global markets.

Indonesia’s wood pellet production reached 333,971 cubic
metres in 2024 tripling since 2020 while exports soared to
US$40 million. The leaders of the Indonesian Biomass
Energy Producers Association (APREBI) and the
Indonesian Biomass Energy Society (MEBI) stressed the
importance of collaboration to grow the biomass sector
responsibly. They argued that negative campaigns linking
wood pellets to deforestation are misleading and could
harm communities and green energy goals.

With over 10 million hectares of land suitable for
industrial and energy forests, Indonesia has vast potential
for biomass development. However, stakeholders urged
the government to review biomass pricing policies to
attract more investment and position biomass as a key
component of the nation’s renewable energy future.

See: https://wartaekonomi.co.id/amp/read589106/biomassa-
indonesia-energi-hijau-dari-hutan-yang-dikelola-secara-legal-
dan-lestari
and
https://swa.co.id/read/465809/aprebi-dorong-ekspor-energi-hijau-
pacu-ekspor-biomassa-yang-legal-dan-berkelanjutan

Furniture Industry concerned on tariffs and regulations
Indonesia’s furniture and wooden handicraft industry is
beginning to recover after facing global economic
pressures though the rebound remains uneven. Positive
momentum has been seen in several subsectors such as
wood, rattan and bamboo products driven by increased
export orders from Japan and Europe as well as domestic
initiatives like the Proudly Made in Indonesia (BBI)
programme.

This government-backed initiative, along with the e-
catalog procurement system, has helped boost local
demand and support industry growth. According to the
Ministry of Industry, these trends have contributed to an
increase in the Industrial Confidence Index (IKI) for the
furniture sector.

However, significant challenges persist due to volatility in
international trade. The fluctuating US tariff policy
continues to disrupt export orders, particularly for wood
and upholstered furniture, prompting manufacturers to
diversify their markets toward Europe, Japan and the
Middle East.

The recently concluded Indonesia–EU Comprehensive
Economic Partnership Agreement (IEU-CEPA) offers
optimism, potentially granting zero tariffs to most
furniture exports once ratified.

Meanwhile, the upcoming implementation of the EUDR
poses compliance challenges, though proposed
simplifications and transition periods for small and
medium enterprises provides temporary relief. The
government and industry players are now working on
strategies to adapt while maintaining competitiveness in
both export and domestic markets.

See: https://www.kompas.id/artikel/industri-mebel-mulai-pulih-
kebijakan-tarif-hingga-regulasi-masih-membayangi

Elevating creative capacity to achieve global presence
The Indonesian Furniture Industry and Craft Association
(HIMKI) aims to transform the country’s creative industry
so it is recognised not just as a low-cost supplier in the
global market but as a producer of high-quality, luxury
products. HIMKI Chairman, Abdul Sobur, emphasised
that brand endurance depends more on mindset than on
capital, urging Indonesian creators to focus on developing
strong brands rooted in cultural identity and emotional
value.

See: https://www.antaranews.com/berita/5206829/himki-
upayakan-industri-kreatif-ri-naik-kelas-tak-hanya-jadi-pemasok
and
https://www.tribunnews.com/bisnis/7747988/himki-industri-
kreatif-perlu-naik-kelas-tak-sekadar-pemasok-produk-murah

Early warning system to curb deforestation
Indonesia’s Ministry of Forestry has implemented an early
warning system to detect deforestation in unlicensed forest
areas as part of its strategy to combat illegal logging and
timber production.

According to Agus Budi Santosa, Director of Forest
Resources Inventory and Monitoring, the system tracks
forest clearing activities and provides updates every two
weeks. The ministry coordinates with various directorates
to monitor areas managed under Forest Utilization
Business Permits (PBPH), particularly those involving
timber and its derivative products.

See: https://en.antaranews.com/news/387881/indonesia-uses-
early-warning-system-to-curb-deforestation

Indonesia to invest in Brazil-led Forestry Fund
Indonesia has pledged to invest in Brazil’s US$125 billion
Tropical Forest Forever Facility (TFFF), a global forestry
fund designed to provide financial incentives for tropical
countries to halt deforestation. President Prabowo
Subianto announced this commitment during a joint press
conference with Brazilian President stating that Indonesia
would match Brazil’s investment in the initiative.

The fund aims to generate permanent income for forest-
rich nations in exchange for protecting their forests,
combining US$25 billion in sovereign investments with
US$100 billion from private capital. The move according
to the media underscores Indonesia’s commitment to
global forest conservation and sustainable finance
cooperation with other tropical nations.

See: https://jakartaglobe.id/news/indonesia-vows-to-invest-in-
brazilled-125-billion-forestry-fund

Indonesia/ ICVCM partnership to build high-integrity
carbon market
Indonesia’s Ministry of Forestry and the Integrity Council
for the Voluntary Carbon Market (ICVCM) have signed a
memorandum of understanding (MoU) to develop a high-
integrity voluntary carbon market in the country. The
Minister of Forestry, Raja Juli Antoni, stated that the
collaboration underscores Indonesia’s commitment to
building a carbon market rooted in trust, integrity and
national sovereignty. By aligning with international
integrity standards, Indonesia aims to establish a
transparent and science-based carbon market that also
delivers tangible benefits to local communities and
Indigenous Peoples.

Under the MoU, the ICVCM will provide support through
capacity building, knowledge sharing and technical
assistance in integrity criteria, assurance mechanisms and
measurement reporting and verification (MRV) systems
for the forestry and land-use sectors.

The agreement also includes plans to strengthen the
capabilities of civil servants and project developers,
promote public awareness and create collaborative
platforms to prepare Indonesia for a credible and
sustainable carbon market framework.

See: https://en.antaranews.com/news/390769/indonesia-icvcm-
partner-to-build-high-integrity-carbon-market

Indonesia and UK Strengthen forestry cooperation
Indonesia and the United Kingdom are deepening their
forestry partnership through two new strategic
programmes: the Multistakeholder Forestry Program
(MFP-5) and the Land Facility–Indonesia Country Support
Project.

Both initiatives aim to accelerate Indonesia’s Forestry and
Other Land Use (FOLU) Net Sink 2030 target. MFP-5,
building on the success of previous MFP phases from
2000 to 2023, focuses on strengthening forest governance,
implementing the Timber Legality Verification System
(SVLK) and promoting sustainable forest management
and timber trade.

The Land Facility project, ‘Land to Livelihoods’ seeks to
recognise customary forests and enhance indigenous food
resilience through sustainable land-use practices,
particularly in Papua, West Papua and Southwest Papua.

The Land Facility’s first phase (November 2025–March
2026) will focus on case studies, institutional capacity
building and developing a roadmap for customary forest
recognition through 2029.

See: https://rri.co.id/en/national/1940579/indonesia-and-uk-
strengthen-forestry-cooperation
and
https://mediaindonesia.com/humaniora/825927/indonesia-dan-
inggris-perkuat-kerja-sama-kehutanan-untuk-capai-folu-net-sink-
2030

Smallholder tree farmers’ role in sustainable wood
supply
At the 31st Session of the Asia-Pacific Forestry
Commission (APFC31) and the 5th Asia-Pacific Forestry
Week (APFW2025) in Chiang Mai, Thailand, Indonesia
highlighted the pivotal role of smallholder tree farmers in
ensuring a sustainable wood supply and supporting rural
livelihoods.

Agus Justianto, Senior Policy Analyst at Indonesia’s
Ministry of Forestry, emphasised that smallholders
produce around 80% of the teak used by small and
medium-scale furniture industries making them key
players in the national timber supply chain. He also noted
that Indonesia is expanding its social forestry and
community forestry programmes with 8.32 million
hectares already allocated and a goal of reaching 12.7
million hectares benefiting approximately 1.42 million
households.

Agus further stressed that community-managed forests
contribute significantly to environmental sustainability and
Indonesia’s FOLU Net Sink 2030 target. Forests under
secure community tenure tend to experience lower
deforestation rates and higher regeneration levels,
supporting carbon sequestration and land restoration
efforts.

By empowering local communities through secure rights
and sustainable management practices, Indonesia aims to
balance economic development with long-term ecological
benefits, positioning smallholder tree farmers as central
actors in both national and regional sustainable forestry
strategies.

See: https://forestinsights.id/indonesia-highlights-smallholder-
tree-farmers-role-in-sustainable-wood-supply-across-asia-pacific/

https://www.antaranews.com/berita/5224733/di-forum-asia-
pasifik-ri-tegaskan-perkuat-kehutanan-berbasis-rakyat

5. MYANMAR

  Timber sector experiencing a marked slowdown
As Myanmar approaches a General Election on 28
December 2025 the economic landscape is becoming
increasingly complex. Escalating armed conflict,
tightening economic sanctions and surging commodity
prices are adding significant pressure to an already
unstable business environment.

Within this broader climate of uncertainty the timber
sector is experiencing a marked slowdown. Export
activities have declined sharply and the Myanma Timber
Enterprise (MTE) is struggling to market logs and
sawnwood, both teak and other hardwoods, on the
international market.

MTE has increasingly shifted to domestic sales conducted
in MMK due to restricted access to foreign currency
inflows.

At the same time several sawmills have suspended export-
oriented production and turned toward local markets.
These converging pressures underscore the vulnerability
of Myanmar’s timber supply chain at a time when broader
political and economic uncertainties are deepening.

New oil and gas production projects
Myanma Oil and Gas Enterprise (MOGE), the largest
source of foreign currency is moving ahead with new oil
and gas production projects through partnerships with Thai
companies. Agreements have recently been signed for
projects including Aung Sinkha, Pyay Thar Ya and Min
Ye Thu which when completed are expected to boost
output and revenues.

The earning of MOGE is variable from the different
sources but the most reliable estimation is US$1.5–2.2
billion annually, representing up to 80 percent of
Myanmar’s foreign-exchange income.

See - https://burmese.dvb.no/archives/732720

6. INDIA

  Demand for shuttering ply sustained throughout
monsoon season – a surprise
Over the past few months construction activity was
disrupted in many regions across the country due to
torrential rain. Plywood traders and manufacturers
anticipated a sharp decline in demand for shuttering
plywood. To everyones‘surprise, demand for shuttering
ply was sustained throughout the monsoon season.

In some places the rain was devestating such as Punjab,
Haryana, Himachal and Tamil Nadu and building work
stopped. As reconstruction work began the demand for
shuttering ply ireturned.

Ply Reporter says the demand for shuttering ply in the
major cities was sustained due to scores of new
commercial projects, real estate developments and many
government funded infrastructure projects.

The real estate sector witnessed a few challenges owing to
labour shortage in May and June as workers left for their
home towns to help with harvesting. When they returned
construction sites were seen in full swing further boosting
the shuttering ply demand.

Demand for shuttering ply in South Indian States such as
Andhra Pradesh, Telangana, Karnataka has also been
promising except in some parts of Tamil Nadu and nearby
areas which were affected by storms.

Analysts suggest that the launching of new real estate
projects targetted to be completed within contract
timelines under the Real Estate (Regulation and
Development) Act 2016 has supported construction
demand. Tier 2 and Tier 3 cities have witnessed good
demand for shuttering plywood.

See: https://www.plyreporter.com/article/154255/current-issue

A good monsoon boosts consumer spending
The 2025 India monsoon season experienced prolonged
and above-average rainfall continuing into October,
beyond its usual duration. The India Meteorological
Department (IMD) recorded 8% more rainfall than
average for the core June-September season.

India's monsoon rains significantly influence domestic
consumption, primarily by impacting the agricultural
sector, rural incomes and food price stability. A good
monsoon boosts consumer spending while a weak one can
dampen demand across the economy.

A good monsoon leads to higher agricultural production
and increased farm incomes. Since a large portion of the
Indian population (around 60%) depends on agriculture
and over half of the net sown area is rain-fed, the
purchasing power of millions of rural households increases
with good rains.

The monsoon drives consumer spending as higher rural
incomes directly translate into increased demand for goods
and services. This surge in spending benefits many
sectors.

Booming construction and furniture industries rely on
imported timber
A 2024 GAIN report says India’s annual import of logs,
sawnwood and wood products increased from US$630
million to US$2.3 billion over the past two decades with
US capturing a significant share. Limited domestic
supplies coupled with booming retail furniture, handicraft
and hospitality sectors are driving demand for newer
species. Exporters are also increasingly sourcing imported
species to meet certification requirements in export
markets.

India’s booming construction, housing, furniture and
handicrafts industries are increasingly relying on imported
forest products to expand output. The government
estimates 51% of India’s population will be living in urban
areas by 2047 leading to a demand surge for furniture
products.

India’s furniture market was valued at US$24 billion in
2023 making it the fifth largest producer and fourth largest
consumer globally with an expected annualised growth
rate of 11% from 2023-28. Wooden furniture is expected
to remain at the core of home furnishing demand as rising
incomes and demand for high quality and distinctive
designs are forecast to grow.

Dual income earning households, larger disposable
incomes and changing lifestyle trends among these
consumers is driving growth for luxury and imported
goods including luxury furniture. Wealthy urban
consumers are increasingly shopping for goods online
through various e-commerce sites.

See:
https://apps.fas.usda.gov/newgainapi/api/Report/DownloadRepor
tByFileName?fileName=Wood%20and%20Wood%20Products
%20Update%202024_Mumbai_India_IN2024-0026.pdf

Indian economy forecast to grow at 6.6% in 2025-26
The IMF released its revised projections following the
effects of US tariffs across various economies and the
subsequent deals made between countries amid growing
uncertainty. With the effects of tariffs lower than
expected, the IMF projects global growth at 3.2% in 2025,
while slowing to 3.1% the following year.

The International Monetary Fund (IMF) has predicted that
India will continue to be one of the fastest-growing
‘emerging market and developing economies‘ in 2025-26,
growing at a rate of 6.6% according to the World
Economic Outlook (WEO) report. This upward revision is
attributed to strong economic performance in the first
quarter, which has more than offset the effects of
increased US tariffs on Indian goods.

See: https://www.business-standard.com/economy/news/imf-
projects-indian-economy-to-grow-at-6-6-in-2025-26-outpacing-
china-125102500042_1.html

7. VIETNAM

  Wood and Wood Product (W&P) trade highlights
Vietnam’s W&WP exports in October 2025 reached
US$1.55 billion, the same as in October 2024 of which
WP exports contributed US$1.07 billion, up 14%
compared to October 2024. In the first 10 months of 2025
W&WP exports earned US$14 billion, up 6% over the
same period in 2024 of which WP exports accounted for
US$9.6 billion, up 5% over the same period in 2024.

Vietnam's oak imports in October 2025 were 54,300 cu.m,
worth US$28.8 million, up 4% in volume and 5% in value
compared to September 2025. Compared to October 2024
the imports increased of 79% in volume and 57% in value.
In the first 10 months of 2025 oak imports totalled to
463,500 cu.m, worth US$254.7 million, up 49% in volume
and 41% in value over the same period in 2024.

Vietnam's NTFP exports in September 2025 earned
US$66.4 million, a slight increase compared to August
2025 and 31% over the same period in 2024. In the first 9
months of 2025 NTFP exports earned US$640 million, up
8% over the same period in 2024.

Vietnam W&WP exports to Africa in October 2025 were
valued at US$9 million, up 15% compared to October
2024. In the first 10 months of 2025 W&WP exports to
African markets amounted to US$68.7 million, up 17%
over the same period in 2024.

Vietnam’s office furniture exports in October 2025
amounted to US$35 million, down 2% compared to
October 2024. In the first 10 months of 2025 exports of
office furniture generated US$314 million, up 22% over
the same period in 2024.

Vietnam’s imports of raw wood in October 2025 are
estimated at 530,600 cu.m, worth US$164.5 million, down
5% in volume and 5% in value compared to September
2025 but compared to October 2024, they were up 4% in
volume and 5% in value. In the first 10 months of 2025
imports of raw wood stood at 5.67 million cu.m, worth
US$1.79 billion, up 23% in volume and 20% in value over
the same period in 2024.

Vietnam’s W&WP exports to the EU in October 2025
reached US$56 million, down 2% compared to October
2024. In the first 10 months of 2025 W&WP exports to the
EU brought in about US$504 million, up 15% over the
same period in 2024.

Vietnam’s kitchen furniture exports in October 2025
earned US$120 million, down 5% compared to October
2024. In the first 10 months of 2025 kitchen furniture
exports totalled US$1.18 billion, up 2% over the same
period in 2024.

Vietnam’s imports of raw wood from China in September
2025 amounted to 107,070 cu.m, with a value of
US$30.29 million, up 6% in volume, but down 7% in
value compared to August 2025. In the first 9 months of
2025 imports of raw wood from China reached 1.05
million cu.m, with a value of US$320 million, up 65% in
volume and 26.7% in value over the same period
in 2024.

VIFOREST – 25 Years of growth, vision and a green
future
This year VIFOREST is celebrating its 25th anniversary.
A quarter of a century is more than just a measure of time
it is a story of persistence, transformationandvision.
For VIFOREST, those 25 years mark a remarkable
journey from humble beginnings to becoming the
“conductor” of one of Vietnam’s most dynamic,
sustainable and globally integrated industries.

The seeds of that journey were sown by the late Deputy
Prime Minister Nguyễn Công Tạn, whose foresight gave
birth to VIFOREST with a bold mission: “to revitalise the
wood industry and turn it into a billion-dollar sector.”

At that time, few could have imagined how far the
Vietnamese timber industry would go. Yet, from the first
sawmill hum to today’s modern factories producing world-
class designs, the industry has grown into a global force.

This year exports are expected to reach over US$17
billion, securing Vietnam’s place among the top five wood
and wood product exporters worldwide and second place
wooden furniture and interior manufacturers, just after
China.

Behind those impressive numbers are millions of
hardworking forest growers, thousands of resilient
businesses and countless silent contributions to the
nation’s green growth. Each log, each crafted piece of
furniture carries within it the ingenuity, dedication and
unity of a community that has weathered challenges and
embraced change.

Through global turbulence, from the pandemic and trade
disruptions to the growing urgency of climate change,
Vietnam’s timber industry has shown remarkable
resilience. Exports, once just over US$1 billion in the
early 2000s, soared to US$17.1 billion in 2022. These
milestones are more than economic success stories they
are testaments to the Vietnamese spirit of innovation,
adaptability and perseverance.

But as the world turns its focus toward the green economy,
circular economy and responsible supply chains, new
horizons appear, both challenging and full of promise.
Global standards on traceability, emission
reductionandforest certification are no longer distant
concepts; they are today’s imperatives. For Vietnam, they
signal an opportunity to redefine its wood industry one
that is modern, transparentandvalue-driven.

The 5th Congress of VIFOREST, held in November 2025,
marked a defining moment. Looking toward 2030
VIFOREST sets forth an ambitious vision: to elevate
Vietnam’s wood and forest product exports to US$25
billionandto make the “Wood from Vietnam” brand a
global emblem of quality, responsibility and creativity.
This is not merely about economic targets, it is about
sustaining forests, nurturing livelihoods and contributing
to Vietnam’s Net Zero commitment by 2050.

As it steps into its next chapter VIFOREST remains a
beacon of knowledge, connection and leadership guiding
the industry toward a greener more inclusive future.

From the resilience built over the past 25 years rises a
renewed ambition to see Vietnamese wood not only reach
every corner of the world but also stand as a proud symbol
of sustainability, innovation and national identity.

Source: Ngo Sy Hoai, Vice President and Secretary General of
VIFOREST

VIBE 2025: Celebrating unique designs
The Vietnam Interior & Build Expo (VIBE 2025) held at
the Saigon Exhibition and Convention Center (SECC)
from October 1–4, 2025 brought together 150 enterprises
and 550 booths affirming the strong growth of Vietnam’s
domestic architectural, interior design and construction
sectors. According to Mr. Nguyễn Chánh Phương, Vice
Chairman of the Handicraft and Wood Industry
Association of Ho Chi Minh City (HAWA), this year’s
theme “Next in Space: The Future of Living” offered
Vietnamese businesses in architecture, interior design and
construction an opportunity to redefine living spaces, seize
new opportunities and reshape their development models.

To realise this vision, the organisation of VIBE 2025
centered on four core principles: sustainability,
technology, creativity and locality. As a result, the
exhibition introduced visitors to an innovative and
inspiring display space featuring high-quality products
from unique design styles to next-generation materials
including wood-based products, all reflecting current
domestic and global market trends.

This year, VIBE 2025 introduced a comprehensive
renewal of its event series, with a focus on in-depth
professional seminars to foster knowledge exchange and
inspire creativity. Highlights included:

The V-Talk Forum, where leading experts discussed key
industry challenges and external influences shaping the
future of Vietnam’s architecture and wood industries.

The Continuing Professional Development (CPD)
Workshop, co-hosted by HAWA and the Ho Chi Minh
City Association of Architects, with the theme “Culture –
Material – Technology in Sustainable Architecture 2050.”
Source: Vietnam Architecture & Interior Magazine, Issue
No. 179 – October 2025

Strong Growth in wood pellet exports
In the first eight months of 2025, Vietnam’s wood pellet
exports recorded significant growth, reaching a total value
of US$796 million, an increase of 57% compared with the
same period in 2024. The export volume was estimated at
over 5.46 million tonnes, up 43% year-on-year.
Top export markets

Japan remained Vietnam’s largest export destination,
accounting for 74.6% of total export volume (over 4
million tonnes), equivalent to US$604 million. South
Korea ranked second, accounting for 19% of the total
volume (1.05 million tonnes), valued at US$138 million.
The European Union and other markets accounted for the
remaining sales.

The average export price of Vietnamese wood pellets
during the period reached US$146 per tonne, up 9% from
the same period last year. The continued expansion in both
export volume and value demonstrates the resilience and
competitiveness of Vietnam’s wood pellet industry.

The sector has effectively maintained a stable biomass
energy supply for major Asian markets, particularly Japan
and South Korea, while enhancing its readiness to expand
into the EU and other emerging markets amid the ongoing
global energy transition.

See: /https://mkresourcesgovernance.org/wp-
content/uploads/2025/08/20250607_Vietnam-wood-pellet-
production-and-trade-2024-EN.pdf

8. BRAZIL

  Green economy and sustainable development
During the “Agenda SP+Verde Summit” held in São Paulo
the governors of Mato Grosso do Sul and São Paulo
participated in the panel “A New Vision for the Green
Economy” which addressed key topics related to
sustainability, energy transition, infrastructure, production
and logistics.

The event brought together around 10,000 participants
over two days and was structured around four thematic
axes: Green Finance; Resilience and the Future of Cities;
Climate Justice and Sociobio-diversity and Energy
Transition and Decarbonisation.

The forestry sector of Mato Grosso do Sul State was
highlighted as one of the world’s leading forest industry
hubs driven by an unprecedented expansion cycle.
Between 2023 and 2025 private investments have
exceeded R$89 billion focusing on the production of
paper, pulp and MDF, consolidating the state’s position as
a benchmark in the forest-based bio-industry.

The industrial transformation is being led by major global
corporations such as Suzano, Eldorado Brasil, Arauco and
Bracell which have made the State one of the world’s
largest forestry hubs.

The main projects include Suzano’s plant in Ribas do Rio
Pardo (R$23 billion), Eldorado Brasil’s new facility in
Três Lagoas municipality (R$25 billion), Arauco’s
Sucuriú Project in Inocência municipality (R$25.1 billion),
Bracell’s plant in Bataguassu municipality (R$16 billion),
and the expansion of Greenplac in Água Clara
municipality (R$120 million).

Collectively, these investments reinforce Mato Grosso do
Sul’s role as a national reference point in sustainable
development, the bio-economy and forestry innovation.

See: https://www.maisfloresta.com.br/governadores-de-ms-e-sp-
discutem-economia-verde-e-desenvolvimento-sustentavel/

Forestry drives innovation and growth in Brazilian
agribusiness
Brazilian forestry is undergoing a transformation. With
approximately 10 million hectares of planted forests and
the daily planting of around 1.2 million new trees, Brazil
has established itself as a world leader in pulp productivity
and exports which reached US$12.7 billion in 2024
according to the Brazilian Tree Industry (IBÁ).

The sector continues to grow driven by technological
innovation, advances in forest management, favorable soil
and climate conditions and growing domestic and
international demand.

By 2030, five new pulp mills are expected to be
established reinforcing the strategic role of planted forests
in the green economy. The energy transition is also
boosting the sector: corn ethanol plants are increasingly
using forest biomass for power generation.

Corn ethanol production reached 8 billion litres in 2024
(+37% yoy) and is projected to climb to 15 billion litre by
2032.

Currently, corn accounts for 25% of national ethanol
production, a share expected to rise to 40% by 2035 and
this will require tripling the supply of wood chips to meet
the growing energy needs of ethanol plants set to increase
from 24 to 56 facilities over the next decade.

To meet this new demand the forestry sector is adopting
precision technologies and mechanisation, including
remote monitoring, digital mapping and integrated forest
operations management.

Continued progress depends on the training of skilled
professionals and partnerships among government, private
sector and research institutions. More than just exporting
timber and pulp,

See: https://www.maisfloresta.com.br/silvicultura-como-
propulsora-de-desenvolvimento-do-agronegocio/

Contributions to Tropical Forests Forever Fund
The Tropical Forests Forever Fund (TFFF) was launched
by the government of Brazil during the UNFCCC COP30
Leaders’ Summit in Belém on 10 November 2025 as a
global financial instrument aimed at the preservation of
tropical forests.

The fund´s goal is to raise US$125 billion based on an
operational model that combines financial returns with
environmental benefits. Profits will be directed to tropical
forest countries that can demonstrate measurable
reductions in deforestation.

The TFFF´s structure is hybrid, blending public and
philanthropic contributions referred to as “sponsoring
investors”, who assume higher risks to attract estimated
additional US$100 billion in private capital.

The initial fundraising target is US$25 billion from these
‘sponsoring investors’. Among the confirmed
contributions, Norway has pledged up to US$3 billion
over ten years and France has committed US$580 million.
Indonesia and Brazil will each invest US$1 billion,
positioning themselves as the main beneficiaries of the
fund. Other commitments include Portugal, with €1
million and a possible contribution from Germany.

China, the Netherlands and the United Arab Emirates have
expressed their intention to provide financial support,
though specific amounts have yet been disclosed. Despite
the broad international engagement, the United Kingdom,
previously seen by the Brazilian government as a likely
partner, has opted not to contribute at this time.

See: https://capitalreset.uol.com.br/clima/cop/noruega-promete-
us-3-bi-para-fundo-de-florestas-reino-unido-e-alemanha-ficam-
de-fora/?utm_medium=email&utm_campaign=061125_-
_bn_noruega_no_tfff_banner_cop&utm_source=RD+Station

Brazilian forest production reaches record high
In 2024, Brazil’s forest production reached a historic
record of R$44.3 billion, representing a 17% increase
compared to 2023 according to the Brazilian Institute of
Geography and Statistics (IBGE). In addition to the strong
performance of the pulp sector there was notable growth in
production from native forests and of wood products.

Non-timber forest product extraction from native forests
generated R$3.8 billion (+4% yoy) driven by products
such as açaí, Brazil nuts, yerba mate, piassava and latex,
which strengthen the bio-economy and income generation
in the North and Central-West regions.

The states of Pará, Amazonas and Acre led this segment
highlighting the potential of sustainable forest
management as a driver of environmental conservation.

In foreign trade exports of forest-based products including
processed wood, MDF, plywood, reconstituted panels and
pulp totalled US$18.2 billion (+18% yoy). China remained
the main destination followed by the United States and the
European Union.

The sector’s strong performance was supported by the
appreciation of pulp prices in the international market,
high demand for engineered wood and MDF products and
the expansion of sustainability certification which has
improved access to higher value-added markets.

With growing global demand for sustainable practices the
Brazil´s forestry sector has distinguished itself through the
adoption of low-carbon technologies, large-scale
reforestation and digital resource management. The
Brazilian Tree Industry (Ibá) projects R$60 billion in new
investments by 2030, focused on expanding planted forest
areas and innovation in bio-economy.

Despite challenges such as water scarcity, species
diversification and combating informality in logging
Brazil continues its position as a global leader in
sustainable forest economy successfully aligning
economic growth, environmental conservation,
competitive exports, valuation of native forests and
innovation in the timber industry.

See: https://www.maisfloresta.com.br/producao-florestal-
brasileira-atinge-r-443-bilhoes-e-bate-recorde-historico/

9. PERU

  SERFOR recognised for promoting new Standard
The National Forest and Wildlife Service (SERFOR)
received recognition for its key role in the development
and approval of the Peruvian Technical Standard NTP-ISO
38200:2023, "Chain of Custody of Timber and Wood
Products," officially adopted by the National Institute of
Quality (INACAL).

These standard guarantee traceability, legality and
sustainability throughout the timber production chain
enabling Peruvian forest products to meet international
certification and responsible trade standards.

NTP-ISO 38200:2023 aligns with the international
standard ISO 38200:2018 facilitating the tracing of timber
origin from harvesting to final sale, thus strengthening the
sector's transparency and credibility.

See: https://www.gob.pe/institucion/serfor/noticias/1277995-
reconocen-al-serfor-por-impulsar-norma-que-asegura-el-origen-
legal-y-sostenible-de-la-madera

Financing opportunities to strengthen forestry and
wildlife sectors
With the aim of publicising the programme, funds and
financing mechanisms available at the national and
international levels and promoting sustainable investments
that drive the development of the forestry and wildlife
sector in Peru, the National Forestry and Wildlife Service
(SERFOR) organised the event “Financing Opportunities
for the Forestry and Wildlife Sector.”

The event showcased proposals, experiences, and success
stories that demonstrated how access to responsible
financing and collaborative work can generate economic
development and environmental sustainability.

See: https://www.gob.pe/institucion/serfor/noticias/1275918-
serfor-presento-oportunidades-de-financiamiento-para-fortalecer-
el-sector-forestal-y-de-fauna-silvestre

ADEX's contribution to sustainability of Peruvian
forest resources
The Wood and Wood Industries Committee of the
Extractive Industries and Services Management Division
of the Association of Exporters (ADEX) has on its agenda
improving the sector's competitiveness, prioritising the
legality and traceability of added value timber products.

Thanks to coordinated efforts with ADEX's Institutional
Relations and Agreements Management, a problem
preventing many companies in the sector from accessing
Drawback (a Peruvian Customs regime that reimburses
exporters for the amount of tariffs paid on imported inputs
used in the production of goods) was resolved.