281 family-operated furniture plants that have been operating without the necessary permits in the districts of Thakhaek, Hinboun, Bualapha, Yommalath, Nongbok, Xebangfay, Xaybuathong, Nakai and Khounkham, were ordered shut down by Khammouane Provincial authorities.
The Provincial Governor recently issued Decision No.587, a cease and desist of family-operated furniture units without the necessary licensing, assigning provincial Industry and Commerce Department to announce the instructions to relevant sector operators and local authorities to execute the order which is scheduled to be completed within two months.
Deputy Head of Industry Division, Mr Vong Xaysana stated that, the Industry and Commerce Office in each district will set forth the mandate so that illegal family-operated furniture plants will be successfully suspended as planned.
Inspections at wood processing facilities revealed an estimated 89 wood processing plants were operating without licences, while others failed to meet certain standards entirely.
An approximated 78 factories will need to show improvements and management directives shortly after Lao New Year, particularly those located near protected forests.
Meanwhile in Savannakhet, provincial authorities ordered termination of 253 family-based furniture plants, most operating without the proper business licenses.
The department recently auctioned off more than 716 cubic metres of confiscated timber that had been illegally logged, fetching over 1.3 billion kip for the state.