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Analysis of Material Choices of Taiwan’s Lumber Industry and the Predicaments It Faces

  • Date of declaration:2018-03-27
Jiunn-Cheng Lin, Po-Heng Lin, Yi-Hong Chen, Wei-Hsun Chan
Year
2018
Key Words
lumber industry, domestic timber, timber self-sufficiency rate, supplier selection criteria.
Abstract

For the past 20 years, logging restrictions in Taiwan have resulted in insufficient domestic timber sources and quantities. Accordingly, the only way that local manufacturers’ stable operations can be ensured is with imported raw materials. To address this issue, the government will have to effectively draw upon domestic woodlands and timber sources to promote the domestic timber self-sufficiency rate. Hence, it is paramount to obtain information about one of the key factors, sawmills, the forefront of processing harvested wood. Results of this survey indicated that sawmills in Taiwan are predominantly small. And medium-scaled businesses equipped with fewer than 5 woodworking machines and less than 10 employees each. However, only 30% of them use domestic timber for production. Important supplier selection criteria for raw wood materials involve “stability of supplies”, “reasonable prices”, “sufficient quantities of supply”, “meeting one’s own production demand for raw materials”, and “quality of wood or wood products”. Meanwhile, regarding the predicaments faced by the lumber industry, the severity of the following problems is considered a priority: “lack of the involvement of youth to which the business can be passed down”, “reduced profit margins from price wars”, and “downturn in the domestic construction industry”. It is hoped that the government can provide assistance such as “launching an industrydriven talent training program”, “encouraging more-widespread usage of wood/bamboo merchandise”, “promoting both the quality and quantity of domestic bamboo materials” and “making wood/bamboo products eligible items of the government’s green procurement”. Therefore, the sustainability of the wood industry relies heavily on promoting its development as a whole with prospects for making this industry an attractive option for youth.