In recent years, the total output value of forestry industries is growing year by year. The gross product value of forestry industries in the whole country reached RMB 689.221 billion (calculated at the current price) in 2004, RMB 103.188 billion more than that in 2003, an increase of 17.61% (figure 4-1). By looking at different industries, the product value of the primary industries was RMB 338.754 billion, contributing 56.4% to the gross output value of all forestry industries, an increases by 10.50% as compared with the same period of last year; the product value of the secondary industries was RMB 256.112 billion, accounting for 37.16% of the product value of all forestry industries, a comparative growth of 27.58%; the third industries had a gross output value of RMB 44.355 billion, covering 6.44%of the gross output value of all forestry industries, a rise by 32.48% over the same period of last year. Among the secondary industries, the manufacturing industries amounted to the most part with a contribution of 97.63%to the product value of the secondary industries; among the manufacturing industries, wood processing and products of timber, bamboo, palm and straw are the largest contributors, accounting for 59.51%of the total product value of the manufacturing industries and 58.10% of that of the secondary industries.

The main causes for the significant growth of the output value in 2004 were: firstly, the government implemented the 6 major forestry programs in succession and increased investment in forestry year by year; secondly, since the implementation of the 6 major forestry programs, the economic forests and bamboo plantations established in different places during the forestry structural adjustment have entered the period of harvesting, and the product value of tea, mulberry, fruit in the primary industry alone was up to RMB 143.212 billion; thirdly, fast-growing forest and industrial raw materials forest developed rapidly, and impacted by the market demands, the wood-based panel and wood processing grew fast, both production and price had a different level of growth.    

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