Growing demand propels PHL bamboo industry

With the growing demand for bamboo as an ecologically friendly alternative material to wood products, the Philippine bamboo industry is seen as an industry cluster with a huge potential in contributing to the country’s economic growth.
“At present, there is a supply deficit (which) is about 2 million bamboo poles for furniture and 340,000 bamboo poles for handicrafts, with an estimated demand of 3.5 million poles for furniture and 575,000 poles for handicrafts,” Trade and Industry Undersecretary MerlyM. Cruz said in her speech during the recent Philippine Bamboo Congress.
This supply deficit would require additional bamboo plantations of 150 thousand to 166 thousand hectares by 2015.
Cruz also said that the local bamboo demand stood at Php 450 million per annum. By 2015, the world demand for bamboo is expected to grow to US$ 15 to US$ 20 billion. The emerging products from bamboo will account 45 percent of the bamboo market.
Traditional products are also expected to grow but not as fast as the emerging products.
Along these considerations, Cruz encouraged over a thousand participants of the congress to invest in the country’s bamboo industry.
Aside from increasing demand for bamboo, she also cited other reasons why invest in the bamboo production such as low capital investment for many of its products, availability of technologies and land for its production, and sound characteristics of bamboo like fast growing, renewable and environment friendly.
With the theme “Bamboo for people and environment”, the Philippine Bamboo Congress was expected to increase public awareness on the potentials of bamboo in boosting economic growth and job creation in the countryside, and in helping preserve the environment.
This congress gathered entrepreneurs, investors, processors, farmers, manufacturers, traders, buyers, exporters, the academe, and key officials from national government agencies, non-government organizations, industryassociations, and local government units to update them on the current policies and program directions related to the bamboo industry.
The event also unveiled desk and school arm chair made from bamboo, and offered seminars, lectures and consultations on bamboo plant production, farm or plantation establishment and maintenance, award-winning innovations in bamboo production, primary bamboo processing, secondary bamboo processing and equipment technologies.
“From 2007 to 2010, the global traded bamboo products averaged US$ 1.49 billion, with China as the top exporter with a market share of 46 percent,” Cruz said.
According to the International Network for Bamboo and Rattan data from 2007 to 2010, the major markets for bamboo products are European Union, United States, Japan, Canada, China, Singapore, South Korea, Malaysia, Mexico, and Australia.
About 57 percent of imports are bamboo flooring and baskets.
The USA is the largest Western consumer of bamboo,with annual imports of almost US$ 300 million of bamboo products.Ninety-five percent of these products come from China.
Cruz also noted that the Philippine export market are the European Union, USA, Japan, Canada, China, Singapore, Australia, Republic of Korea, Switzerland, Russia, Hong Kong, South Africa, Mexico, India, Norway and Turkey.
The country’s major export bamboo products are handicrafts andfurniture. The average global market growth rate is at 7 percent or US$ 8 billion annually. [PNA]