Research Note Rubberwood Value Chains in Laos: early observations from an emerging opportunity

Abstract

This report builds on a study of rubber value chains undertaken in 2019-2020 (Smith et al., 2020). That study explored opportunities and constraints in policy, legality and wood processing and was complemented by trials of rubber wood processing undertaken at the National University of Laos’ (NUoL) Faculty of Forestry (FFS) (Belleville et al. 2020). At the time of that study, there were no rubberwood processing enterprises in Laos and findings related to rubberwood were based on experiences of neighbouring countries - Vietnam and China. In early 2022 researchers on our project team became aware of a rubberwood veneer processing facility operating in Luang Namtha Province in Northern Laos. It was in that province that, in 2019, we had shown government officers and rubber growers examples of rubberwood plywood products developed at NUoL. This presented us with an opportunity to extend our research to include one Lao rubberwood value chain. During the period of our first study, the Government of Laos (GoL) was also reforming strategies, laws, regulations and the governance of the forest and wood processing sector. We reported on some of these reforms, but since the study was completed, there have been further revisions and clarifications of new and existing legislation and changes to Ministerial mandates, which will influence the rubber growing and rubberwood sectors in the future. This short report updates the 2020 report, drawing on limited fieldwork in Luang Namtha in 2022, focusing on the new rubberwood factory and changes to policy, regulatory and governance settings. Further trials of processing rubberwood were also undertaken in 2022, and the results of which are reported separately.