The Furniture and Wood (Namještaj i Drvo) Wood Cluster Association from Sarajevo is a key organization that brings together around 80 companies from the wood industry and furniture manufacturing sectors, as well as research and educational institutions across Bosnia and Herzegovina. The cluster is dedicated to improving collaboration among its members, developing sustainable production, increasing exports, and educating the workforce.
The cluster actively promotes domestic products through numerous projects and initiatives, boosts market competitiveness, and implements innovations and new technologies. Their activities encompass development and innovation, promotion and marketing, networking, education, and sustainable development. Additionally, through partnerships with similar organizations in the region, the cluster successfully collaborates at the international level, further contributing to strengthening the wood industry in Bosnia and Herzegovina.
Dinko Mujkić, president of Furniture and Wood, told the Energy Portal Magazine that illegal logging poses a major problem in Bosnia and Herzegovina, with significant negative consequences for the wood sector.
“The Furniture and Wood Association emphasizes the importance of passing a Forest Law, which would regulate this area and enable more efficient control. We believe that curbing illegal activities requires enhanced inspections, introducing digital forest monitoring systems, raising public awareness, and stronger regional and international cooperation,” Mr Mujkić adds.
On the other hand, the cluster members believe that the government’s approach to the wood sector in Bosnia and Herzegovina is not at a satisfactory level. Issues such as insufficient law enforcement, lack of political will, and corruption further complicate the situation, threatening the sustainable development of this sector.
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The Importance of Trade Fairs for the Wood Industry in Bosnia and Herzegovina
Participation in trade fairs is of exceptional importance for furniture manufacturers from Bosnia and Herzegovina. Mr Mujkić highlights that trade fairs provide an opportunity to increase visibility and recognition in the global market, network with key industry players, keep up with the latest trends and innovations and expand markets and exports. Additionally, direct contact with customers at fairs allows manufacturers to receive feedback and adjust their products to market needs. He particularly highlights the importance of collective appearances at fairs such as MOW in Germany, IMM Cologne, Salone del Mobile in Milan, and others, as this helps strengthen Bosnia and Herzegovina’s image as a country with a high-quality wood industry.
Decline in Exports of Bosnia and Herzegovina’s Wood Industry
The wood industry of Bosnia and Herzegovina has faced a decline in exports in recent years, which significantly affects this sector. The value of wood industry exports in 2023 amounted to 1,592,465,387 BAM, a decrease of 12.3 percent compared to the previous year. The decline in exports mainly affects the furniture sector, which accounted for 43 percent of total exports last year, with a 3.9 percent decrease compared to 2022. This trend negatively impacts wood processors, reducing revenues and making business operations more difficult. Our source highlights the need for government support to increase exports by strengthening legal regulations and improving the business climate in the country.
Prepared by Milica Radičević
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