1
MinistryofAgriculture&RuralDevelopment

CARDProjectReport

027/06/VIE


MS9+MS10:VALIDATIONANDCOMPLETION
REPORT
by
PeterVinden,PhilipBlackwellandPhanDucChien



August2010
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
VALIDATION AND COMPLETION REPORT 5
OBJECTIVES 5
Objective 1. Identify and define industry problems, needs and opportunities
through a comprehensive survey and review the rural sawmilling industry 5
Objective 2. Establish a facility for training and technology development 5
Objective 3. Develop and conduct training programs to improve operator
sawmilling and business skills for trainers and for mill operators 6

Objective 4. Investigate demonstrate and recommend more appropriate or

Research 24
Education and training in forestry, wood science, timber engineering and
furniture 26
Research training and education focus. 26
Strategies to Assist Rural Sawmill Development in Vietnam 27
2. Appendix: 32
THE ESTABLISHMENT OF “NEW FORESTS” IN VIETNAM 32
Summary 32
Background. 32
New Forests 33
3. Appendix: 37
FOREST INDUSTRIES 37
2.1 Energy required for processing 38
2.2 The link between trees, wood and architecture 40
2.3 The popularity of forestry and foresters 40
2.4 Conclusions 41
4. Appendix: 42
FOREST INDUSTRIES RESEARCH 42
Background 42
Research program 42
Program 1. INNOVATION 44
Carbon positive design (CPD); 44
Design for recycling, reuse and reassembly 44
Design durability 44
Program 2 FUNDAMENTAL SCIENCE 45
Biochemical pathways for lignin, cellulose and hemicellulose biosynthesis 45
Lignocellulose fibre composition 45
Lignocellulose interactions 45
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VALIDATION AND COMPLETION REPORT
Thisreportprovidesasummaryofprojectachievementspresentedaccording toCARDprotocols
and final recommendations to ensure ongoing development of rural forest industries in
Vietnam.
OBJECTIVES
• Extenttowhichprojectobjectivesandperformancemeasureshavebeenachieved.
Objective 1. Identify and define industry problems, needs and opportunities
through a comprehensive survey and review the rural sawmilling industry.
This has been achieved by establishing an inception meeting with stakeholders from industry,
educationandresearchinstitutes,government, bilateralandmultilateralaidagencies.Detailed
questionnaires were developed with input from the inception committee. Vietnamese project
participantsattendedatrainingprograminAustraliatodevelopandrefinesurveymethodology
and review appropriate
 wood processing technologies. The industry survey and review was
undertakenbyajointVietnamese/Australianteaminrepr esentativeprovinces,incooperation
withprovincialDepartmentsofAgricultureandRuralDevelopment.
The survey was conducted in the form of a participatory rural appraisal (PRA). Individual mills
werevisitedandthefollowing
typesofinformationsoughtfromowners:logvolumeinput,sawn
wood output and grades, price and cost data, end‐use markets, equipment used, employee
statistics,problemsidentifiedbyowners,andowner’sviewsondevelopmentneedsofindustry. 
A complementary survey was also undertaken to include plantation growers to assess their
views
 on markets and prices and sawn timber buyers to assess their views on sawn wood
products purchased. The results were collated and a detailed report publish ed. The findings
weresupplementedbyaseparatereportoutliningthecurrentstateofdevelopmentofforestry
andtheforestindustriesinVietnam, theircontribution
totheeconomyandruraldevelopment 
andpotentialtogrowinthefuture.Thesereportswereusedasbackgroundtodevelopingmore
detailed reports on individual sectors of the industry including sawmilling, wood drying,

 a need for training in business skills and this has
been addressed in detailed curriculum developed for future courses. Course materials in the
formofTechnicalNotesandoverheadsweredevelopedforthesecourses.A“trainthetrain er”
coursewasheldinAustraliaforVietnameseparticipantsandagaininVietnam.
Foursessionsof
rural training have been completed successfully by the CARD project and feed‐back obtained
fromcourseparticipants.
Objective 4. Investigate demonstrate and recommend more appropriate or
alternative technologies to improve industry performance.
Detailed reports on each sector of the forest industries have been completed and
recommendations made in relation to the suitability of alternative technologies to improve
industry performance. Separate reports are provided on sawmilling, drying and preservation.
The central question is whether the small horizon tal band saw and vertical band‐saw can
 be
replaced with more automated facilities to provide centralised  processing. There is a chasm
between the costs and operational needs of these small sawmills versus the next level of
sophistication; aninvestment of $4,000 for the current rural sawmillversus 1‐2million for the
cheapestlevelofautomatedsawmill
(forexampletheHEWsawmill).Automationbrings withit
the need for continuously available wood raw material of high quality, and a substantial
improvementinworkerproductivityalbeitatthe expenseofjobs.Valueaddingandexpanding
theutilityofwood throughpreservation andcorrectdrying usingappropriate technologiesare
recommended
 instead of focusing on the replacement of small rural sawmills. The small rural
sawmill provides infinite flexibility in providing primary conversion of the log. None‐the‐less
substantial improvements in the operation of small rural mills can be achieved through a
program of sa wmill  improvement. This report summarises  recommendations from
individual
industrysectorsinrecommendingspecifictechnologiesthatcanimprovethelongtermviability
oftheindustry.

etc, should not substitute or dimi nish
responsibility for integrating areas of production forests that can in the future maintain the
viability of rural areas and provide rural industries of the future. Thus the long term strategy
adopted in this report unashamedly recommends the involvement of Government and the
Vietnam Forest Service
 as an active player in the production of commercial plantations
specifically to meet the needs of rural industries. There will be counter arguments that
productionforestsarenotapublicutilityandassuchshouldnotbea governmentactivity,that
it should be left to the private sector. For
Vietnam’s rural poor such an argument is hardly
relevant.Thestrategydevelopedinthisreportisforthedevelopmentof“NewForests”,forests
thataregrownascloseaspossibletolargecitiestomeetamultipleofobjectives;toprovidean
interfacebetweentheurbandwellerandruralpoor.Research
investmentintoforestindustries
isexpandedtofocusonbestinternationalpracticeandglobalissuessuchasgreenhouseandthe
rolethatforestindustries canplayinreducingthecarbonfootprintthroughsubstitutingthe use
of non‐renewable resources such as steel and oil, whilst at the same time
providing the
infrastructureneededtoassisttheadoptionofnewtechnologiesbytheruralsector.
Sustainability of project outcomes at institutional and operational levels
The Vietnam Forest Service is thelogical institution thatshould be givenlong‐term carriageof
the aims of improving operator skills and techno logy in small rural sawmills in Vietnam.
Recommendations are provided in this report for the expansion and reorganisation of Forest
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Service activities to service these needs, through the provision of training programs, research
and extension. The recommendations are fairly radical in nature primarily because current
servicing of therural sectoris almostcompletely absent.Thein frastructure (trainedpersonnel
and equipment) needed for servicing thesector is also almost non‐existent. The
 CARDproject

• Future responsibility for on going extension following completion of the CARD project
hadbeenfinalised.Thisactivityisdiscussedbelow.
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Table 1. Milestones and Deliverables

Output
Milestones
Milestonedescription Deliverables: comments
1. Contractsigning Contractcompleted completed
2 6‐monthlyprogressreports
andprojectcompletionreport
Fourreports,acceptedby
AusAID
3,6monthly
reportsand1
completion
report
completed

Objective1:toidentify&defineindustryproblemsandopportunitiesthrougha
comprehensivesurveyandreviewtheruralsaw‐millingindustry

Outcome
milestone
Milestone description
Deliverables comments
Meetingofinterestedparties Inceptionmeetingorganised
andnetworkoforganizations
andcompaniesinvolvedinthe

Electronicwebpagedesigned
forclustergroups
Webpageoperational Confidentialweb‐
pagetoholdall
technicalreports
completed.
Blocktrainingcoursesand
datesdefinedandadvertised
totargetaudience.
Brochurescompletedand
disseminated
completed
Output2.
Meetingofstakeholdersto
reviewprogressand
objectives.
Reportincluding
recommendationsforfurther
conductofproject
completed




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Objective3:Developtrainingprogramstoimprovesaw‐millingandbusinessskillsfortrainers
andformilloperators
Output3 Blocktrainingcoursesfor
trainersdefinedandheld

completed
Output7 Meetingofstakeholders
toreviewcoursenote
materialandtrainingthe
trainer’smanual 
Reviewreportcirculated
tostakeholders
Technicalnotescompletedand
arenowbeingtranslatedinto
Vietnamese.Meetingwith
stakeholdersdelayeduntil
translationiscompleted

Output8 longtermimpactand
benefitsassessmentof
trainingonselectedsaw
millers
Assessmentreport
consideredbyadvisory
committee,
recommendationsfor
furthertraining
directions
Detailedrecommendations
completedinfinalValidationand
completionreport.
Meetingtobeheldwith
stakeholdersoncetranslationis
completed


completed
Output12.

Reviewtechnologiesandneedfor
preservativetreatment
Technicalreport
completed
completed
Output13.

Comparetechnologyneedsfor
centralversusdecentralised
sawmilling.
Technicalreport
completed
completed
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
Objective5:developlongtermstrategiesforindustrydevelopment

Output14. Comparetechnologyneedsfor
centralversusdecentralised
sawmilling,andpolicy
implications
Technicalreport
completed
completed
Output15. Identifydomesticmarket
requirementsforsawntimber

TheCARDprojecthastrainedacoreteamofVietnamesescientists
inthetechnologies(current
andfuture)thatwillassisttheindustrytodevelop.Visitstotheseindustriesduringtheconduct
ofthesurveyhasprovidedanauditoftheiroperations(asmightbeundertakenduringasawmill 
improvement program). The opportunity for providing advice on improving the operational
efficiencyofthe
sawmill,dryingortreatmentfacilitywastakentogetherwithon‐sitetrainingof
Vietnamresearchersintheapplicationofsawmillimprovementprograms.
Vietnamese research staff attended an intensive training program at the School of Forest and
Ecosystem Science, Creswick campus, Australia and learned about the hands on operation of
sawmills
and the alleviation of growth stresses; the efficient operation of kilns and treatment
plant,qualitycontrolmonitoringoffinis hed products,valueaddedmanufacturingandnewlow
tech technologies to assist expansion of sawmilling operations into value adding. The same
Vietnamese staffs participated in the development of training courses and have actively

participated in the training of rural communities in Vietnam in these aspects of wood
technology.
Detailed analysis of specific sectors (sawmilling, drying and preservation) has highlighted the
technical needs of these sectors, the technology options available and the cost / benefits of
adoptingparticulartechnologies.Veryspecificrecommenda tionshavebeen
providedineachof
12

these sectors as to the best technical and economic (low risk) options available for expanding
intovalueadding.
The haphazard and exponential proliferation of small sawmills has identified the potential for
this industry to be self starting and sustainable with appropriate technologies and local
investment. However, the survey also identifies the
 fragility of self help initiatives that are

to reduce the risks associated with taking on a logical evolutionary  role in moving to value
adding, not througha processof financialhandouts (localcommunities havedemonstrate d an
abilityfor selfhelp)
butsimply throughproviding securityinraw material availability, together
withcontinuationofthetraining,educationresearchandextensionstartedbytheCARDproject,
to provide skills, infrastructure and appropriate technologies that will meet the aspirations of
themanymillswanting totakethisnextstep.
Rural forest industries are very
 vulnerable to policy changes. Future deve lopment of the
industry needsto be underpinned orchampioned bya single governmentdepartment, inthis
case most appropriately the Vietnam Forest Service. A logical step in providing long term
securityofrawmaterialsupplyistheadoptionofa“NewForest”policy
(outlinedinthis report).
13

Adoptionofsuchapolicywillnotonlybenefittheruralpoor(byprovidingemploymentandraw
material), but alsothe city dwellers whoin the futureeconomic prosperity ofVietnam will be
lookingfor“green”areasofrecreationclosetothecity.Thusthepotentialcoverageofben efits
will embrace
 not only the rural population of Vietnam but also city dwellers that aspire to
enjoyinggreenareaswithintraindistancefrommajorcities.
Adoption of the recommendations in this report will need major policy initiatives focussed on
the Vietnam Forest Service. Very clearly the adoption of such broad reaching policy
changes
needs very clear articulation of the findings this CARD project. Thus the objective is to hold a
final debriefing workshop after all translation of project reports has been completed. A
conferencestylepresentationofreportfindingswill  beprovidedasaformalcompletiontothe
CARDproject.Thiswillbe
followedbyadetailedworkshopanalysisofreportrecommendations
andtransferoffutureinitiativeoftheprojecttothesteering committee.

and the additionalrequirements for continuity in supply ofhigh quality raw material. There is
obviously a  place for a very limited number of such automated mills in Vietnam. On
 bal a nce
however, it is not possible to substitute current te chnology without severe impacts on rural
employmentthatintheendwouldtendtobecounterproductive.However,muchcanbedone
througha sawmillimprovementprogram toimprove thesafeoperation ofcurrent equipment.
Atthesametimethereareappropriate
technologiesthatcanbeusedforvalueaddingsuchas 
theuseofproperlycontrolleddryingschedules(foruseinexistingkilns)andtheintroductionof
14

solar kilns.Similarly in thetreatment area,a “LowTech” treatmentprocess has beendesigned
forruralcommunitiestocomplementtheruralsawmill.Thisisidentifiedatthispointbecauseit
would be opportune to install drying and wood treatment facilities to complement the CARD
initiative in establishing a training mill. Funding
 of this additional equipment is beyond the
meansofthecurrentCARDbudget.
Activity3  involvedestabli shingan electronicweb page.Dr PhamDuc Chienhas establishedan
internet connectionforproject members toreview/edit projectreportsand trainingmaterial
as well as a repository for complete d work.
This has proven to be a valuable means of
communication between project members. Once the project is handed over to FSIV the net
workwillbemadeavailabletoclustersofsawmillsthroughapublicinternetconnection.
Activitiesand4,5,6and7haveprovidedtrainthetrainersessionsin
AustraliaandVietnamand
the delivery of 4 training sessions at various locations through Vietnam. A nucleus of Forest 
Service staff has been trained to provide on–going delivery. Teaching materials have been
developed and translated into Vietnamese to service on‐going training courses. Expansion of
thisnucleus oftrainersis
apriorityfor thefutureand recommendationshavebeen forwarded


Quality of activity achievements
It is potentially inappropriate for the project team to comment on the quality of activity
achievements. The quality of work done should become ap parent at the final workshop. The
projecthasbeenenormousinscopeandhas requiredallmember softheprojectteamtowork
very long hours over an
 extended period of time. Despite the frustrations apparent in delays
that have occurred (at no fault of the project team) all activities have worked extraordinarily 
wellbecauseofthedetailedplanning undertakeatthefrontendoftheproject.JohnFryerhas
to be credited with the vision and management
skills needed in designing the details of the
program.However,everymemberoftheprojectteamhascontributedtotheprogramofwork
withenormousenthusiasmandcommitment.Hopefullythisisapparentinthereportsthathave
beenprepared.Commitme ntoftheprojectteampossiblyreflectsincreasingawarenessofhow
important
 this project will be for the future well being of the rural poor in Vietnam and the
responsibility thateach of us sharesin ensuring thattheir message is heardby thosethat can
influencefuturedirectionsforforestryandforestindustriesinVietnam.
Table2.Completionofactivities

Narrative

Performance
indicator
Means of
verification
Assumptions
risks
PROJECT
PURPOSE

with saw millers
OUTPUT1
Technical report on a
survey conducted to
determine state of sector
Review of report and
objectivesbyadvisory
committee
Written report Time frame may be
optimistic. Statistical
verification may be
difficult.
ACTIVITY1
Inception meeting of
stakeholders, establishment
of a stakeholder project
steering committee,
followed by survey
Survey Report
completed and
progress report
delivered.
Output 1 delivered
to CARD
(1
t
September
2007) and progress
report no 1 (1
October2007)

Portable mill
operational
ProgressreportNo.
2 completed and
deliveredtoCARD
That poor sawing
quality is due to
poor equipment &
improvements can
be made to the
locally
manufactured
sawmill.
ACTIVITY3. Electronic web page
designed for cluster
groups. The first draft will
be designed by PB and
thenadaptedbyFSIV
Webpageoperational Progress report No.
2 completed and
deliveredtoCARD.
Web page to be
displayed either by
FSIV or both
organizations.
ACTIVITY4. Block training courses and
dates defined and
advertised to target
audience.
Brochures completed,

Aust.
Block training courses
for trainers in
Australiadrafted  byU
of M staff and
finalised. Training
hand‐bookcompleted
training completed
, handbook, report
andevaluation
appropriate audience
identified, training
well targeted to
needs
ACTIVITY6 Block training courses for
trainersheldinVN
Block training courses
for trainers
completed in VN,
training handbook for
trainersdrafted
trainingcompleted,
handbook, report
with evaluation
delivered
appropriate audience
identified, training
well targeted to
needs
ACTIVITY7 Block training courses for

OBJECTIVE4
investigate, demonstrate
and recommend on more
appropriate or alternative
technologies to improve
industry performance.
Final report (no. 4)
delivered to CARD
May2009
report on
technology needs
with
recommendations
appropriate new
technologies
available, industry
amenabletochange
OUTPUT3 Evaluate techniques for
improving the
performance Vietnamese
manufactured horizontal
bandsaws.
evaluation
completed, specific
report on potential
improvements in this
technology
report with
recommendations
industry amenable

review completed,
report on preservation
needs
report with
recommendations
industry amenable
tochange
OUTPUT7. Comparetechnologyneeds
for central versus
decentralised sawmilling.
Work to be conducted By
PBandTRUNG
comparison
completed, report
report with
recommendations
industry amenable
tochange
OBJECTIVE5
Develop long‐term
strategies for industry
development. Work to be
conducted by PV, BO and
TRUNG.
long term strategy
dialogue open with
GoV
discussion papers
with
recommendations

training, improved
productivity and
safety
contribution to
finalreport
participants willing
tocooperate
OUTPUT12. Finalreport Final report (no. 4)
delivered to CARD
May2009
finalreport
all relevance
information
available
INPUTS
EquipmentDescription
Thefollowingequipmenthasbeenpurchased,suppliedandhandedovertoFSIV
18

Digitalmoviecamera,tripod,carrycaseandtapes.
2offresistancetypemoisturemeter
Hammertypeelectrodesandsparepartsforresistancetypemoisturemeter
Capacitortypemoisturemeter
Calibrationblocksforallmoisturemeters
Hotwireanemometer
Digitalthicknessgauges
Laptopcomputer
Dataprojector
A Lucassawmill hasbeen purchased
 and paidfor by the University of Melbourne anda Billof

criteria.
Researchstaffingneedsareidentifiedforsawmilling,woodprotectionanddrying.Theobjective
is to provide research of the highest quality where staff  engage also in collaborative
arrangements with other research providers, educational institutions and industry to provide
on‐goingeducation,training,andextensionto assistdevelopmentof therural
forestindustries
sector.
Structural arrangements are identified through the Vietnam Forest Service(for example the
establishment of a Timber Preservation Authority) to provide better quality control of timber
usedin furnituremanufacturing andconstructionthat shouldenhance the reputation of wood
employed in these industriesin Vietnam,thusdeveloping the
domestic market for using more
wood relative to materials that have a much higher carbon foot‐print; protecting timber and
wood product export markets from pests and diseases and safe guarding Vietnam from
accidentalimportsofundesirablepestsanddiseases.
Background
Thisreportprovidesasummaryoffinalrecommendationsbeingconsideredbystakeholdersand
senior Forest Service officials to ensure ongoing development of rural forest industries in
Vietnam
In fulfilling the objectives of the CARD project, specialised reports (Table 1.) have focused on
providingbackgroundinformationfromwhichdetailedanalysescouldbe
undertakenofspecific
20

sectoral issues within the forest industries in Vietnam. In pulling together potential policy
information and detailed recommendations into this final report it is clear that on‐going
relevant research education and training will only occur  if there is an environment and
organisation promoting thelong‐term ongoingpursuit ofthese activities.
 The requirements of
rural development can not be looked at in isolation and in the current instance need to be

ofacaciaproducedbyruralsawmills(derivedfromquestionnairesdirectedatsmall
rural sawmills, Blackwell et al (2009) highlights also the importance of the domestic
marketsforfurnitureproduction.
• Domestic production of raw logs from plantations is expected to grow substantially
following the Vietnamese Governments objectives (1998) of establishing
a 5 million
hectare reforestation program. Various estimates (e.g  MARD, 2010) estimate that by
2020,Vietnamcould becapableofsupplying20millionm3annually.Currentlydomestic
woodproductionfromplantationsisexpandingatabout10%/annum.Thishasoffseta
reductionintheavailabilityofwoodfromnaturalforests.

• Seventy‐fivepercentofthecurrentharvestfromplantationscomprises  acaciaspp.This
percentageisexpectedtoincrease.
21

• The plantation rotation age for acacia is approximately 7‐8 years. Logs have a small
averagediameterofapproximately250mm.
Logicallythereneedstobeinvestmentandexpansion offorestserviceactivitiestoensurethat
the true potential of forestry and forest industries meet both government and the general

publicexpectations. Thisreportther efore providesbackground ora potentialvisionofforestry
and forest industries in Vietnam and broad recommendations as to how the sectors might
develop. Clearly different people will have different visions as to how forestry and forest
industries mightdevelop. The vision given here identifiesgeneric
ideas as towhy thesector is
important.Theideasarepresentedtoprovideadiscussionpointbutmoreimportantlyavision
ofthefuturethatcaninspirethosein decisionmakingrolesoftheneedtoprovideclear,long‐
termpoliciesforruralandurbandevelopmentinVietnam.
The role of the National Forest Service
The success of a Forest Products Research Laboratory will depend to a  great extent on its

Geographically the forests
 of Vietnam could logically be segregated into 3 regions, North,
CentralandSouthVietnam,wheretheconservators(headsofthefunctionalunitsfromeachof
theseregions)reportdirectlytotheChiefConservatorofForests.
22

The purpose of outlining a possible structure of the Vietnam Forest Service is to focus on the
role and functional units within such a forest service and secondly and more importantly
illustrate thefunctional roleof researchand it’ssegregation into4 distinct researchgrouping s
and secondly identify the separate role
 of forest extension (that focuses on farm forestry and
training
The conservation of tropical rain forests and native habitats.
Currently less than 10% of world forests are registered as or certified as meeting the
environmental standards required for sustainable production. Given the North/ South divide
(northern and southern hemispheres) there is an urgent need to ensure that forestry and the
implementationofforestpolicycomesundertheaegisof
asingleorganizationchargedwiththe
responsibilityofensuringthatforestsareproperlymanaged,sothatthegoalsofconservationat
a nationallevel are met.Forest Conservationneeds to be given teethand authority to ensure
thatthereisnoillegallogging;thattheforestsaremanagedtoensure
biodiversity;thatrecords
are kept of the long term management objectives; that scientific information is collected and
analysedandmadeavailableforfuturegenerations.Theseobjectivescannotbemeteffectively
through dissipation of the role of the national forest service or transfer of de cision making to
local community forestry interests. However,
 community engagement and community
requirementsneed tobe addressed,but addressedprofessionallythrough aforestservicethat
is trained in meeting these needs; needs that often have a multitude of frequently conflicting
objectives.

extensive university training in all the skills needed to manage
 multiple objectives. Entry into
University requires very high levels of school education and achievement to ensure that the
demandsofforestmanagementarecateredforusingthebestbrainsavailableforthejob.
The demise of forest services into organizations that simply provide monitoring, policy
developmentandadvicetoministers
hasseenanumberofconsequences.Theseinclude:
• The dismantling  of research capability and loss of infrastructure needed in managing
nationalforestassets,
• Demiseofforestandforestindustrieseducation,
• Expansionofillegallogging,
• Environmentaldegradation,
• Communitydegradation,
• Increasedincidenceoffire,
• Theestablishment
ofunsustainableplantationforests,
• Lossofrecords,
• Lossofnationalpurposeinrelationtoforestry
• Lossofcontrolinlanduse,
• Poorlandmanagement
• Areductioninemployment,
• Lossofscientificexpertiseandrecords,permanentsampleplo ts,expertiseandscientific
knowledge.
• Lossof
communityforestryanddiscreditingofforestrypractices
Itisrecommendedthattheprincipleof“NewForests”asoutlinedinthis report(Appendix1.)is
adoptedwherebymultiplepurposeforestryis practicedtomeetthe needsof thecitydwellers
andtheruralcommunity.Keyelementsof“NewForests”from
aruralcommunityperspectiveis
employmentandgenerationofrawmaterialsfornewindustries.Thisiscriticalfromthepointof

theircapacityforgeneratingruralindustriescashandinfrastructure.
Research
The key to developing dynamic and sustainable forest industries in Vietnam, whether focused
on theindustrial sector or ruralsector or both,is through the establishmentand support ofa
highly motivated mission orientated research institute focussed on such an outcome. The
history ofmission orientated researchinstitutions all highlight how
 effectivesector orientated
research,education andtrainingcan be(relativeto disciplinebasedresearch) inimplementing
change, in promoting new technology, skill development and infrastructure support. Industry
sectors that have had dedicated research laboratories focussed on the national, regional and
individual needs of a sector tend to prosper and become
more inter nationally competitive.
Institutions such as ICFRE, Dehra Dun, India; the UK Princes Risborough  Laboratories (Fo rest
Products Laboratories); the NZ Forest Research Institute, Rotorua; Division of Forestry and
Forest Products CSIRO; US Forest Products Laboratories, Madison, have all demonstrated this
capacity,throughprovidingknowledge andinformation of thef undamentalattributes of
wood
asa rawmaterial, spear‐heading thedevelopmentof newtechnologiesand products,capacity
buildingandprovidingthetechnicalinfrastructureneededforinnovationaswellasthetechnical
solutions needed for the day to day issues and problems arising in forest industry enterprises
andappreciationoftheeconomicand
politicalenvironmentinfluencingtheshortterm andlong
termdevelopmentoftheforestindustries.
Whilst in manycountries forestindustries researchlacks theglamour andhigh profileenjoyed
by manyof thehigh tech, discipline based researchgroupings, the needfor researchand out‐
reachinforestindustrieshasnever been
greater.Thisarises  fromthefactthat woodproducts
store or sequester carbon as a solid, environmentally safe, stable product. The production of
liquidCO2(thatsequesterscarbonbutalsolargeamounts ofoxygen)isbeingproposedbythe
coalindustryintheUS,EuropeandAustraliaas ameans

becameavailable.
Asanindustrialrawmaterialplantationgrownwoodhastomeetthecostsofgrowingthecrop
on a sustainable basis. Oil and coal are non‐renewable and there is no replacement cost
associatedwithminingtheseresourcestoexhaustion.However,withthepotentialintroductio n
ofcarbontax,
thisanomalytoalevelplayingfieldshouldseeadjustmentsintherelativecostof
wood as araw material.The issueis how do weensure thatwood products are creditedwith
carbon storage and the inevitable life cycle benefits that undoubtedly accrue? Clearly
Governmentpolicies  andprotocolsneed to
beappliedjustlysothatthetruelifecyclebenefits
arecaptured.
The role of forest product research laboratories  is therefore changing and needs to change
quickly.Governmentshavebeenslowtoidentifythevitalrolethatindustrialforestryandwood
productscanmakeinrollingbackCO2emissionsand
sustainingruralinfrastructure.
ForestryandtheforestindustriesinVietnamhaveavitalroleintheeconomyofVietnam.Forest
products comprise the fifth largest export. The forest products economy is also expected to
grow following the implementation of thegovernments plan toestablish 5 millionhectares  of
forest.Forestryand
itsassociatedsawmillingisalsoimportanttoruralcommunitydevelopment.
It provides employment and cash in rural areas as well as many products that are consumed
locally.
Forest productsresearch is very fragmented in Vietnam and is currently failing to provide any
cohesiveadviceorleadershiptothedevelopmentof
forestryortheforestindustries.
It is recommended that a Forest Products Laboratory (Centre of Excellence) is established in
HanoiunderthebanneroftheVietnam ForestryDepartmenttoprovidesuchleadership.
Ratherthan identifyingsections  ordepartmentswithin theinstitutionthatembracetradi tional
areas of scientific endeavour, it is
recommended that Programs are established under the