Rubberwood makers face existential crisis as Chinese market evaporates
Around 60 per cent of hevea wood or rubberwood entrepreneurs are expected to be out of the business due to the outbreak of Covid-19.
Thai Hevea Wood Association said 99 per cent of rubberwood was exported to China and the business had already been in crisis after China stopped importing the products when the outbreak began.
The value of rubberwood exports in 2017 was Bt49.44 million but the figure dropped to Bt29.4 million in 2019.
The association is trying to distribute the products to other countries but targeted partners such as India do not have a high demand for rubberwood while countries in European Union only import products that meet FSC and PEFC standards.
Entrepreneurs had tried to transform the wood into furniture but there were no takers in China, as they usually make their own furniture.
Governor of the Rubber Authority of Thailand, Nakorn Takkavirapat, said that Thailand could no longer depend on the rubberwood market in China and there would be a discussion with the association to solve the problem.