Green forest fire notification in Laos

Supply-chain Risk Briefing - Laos Forest Fires

1) Summary Forest fires occurred in Laos from March 29 to April 13, lasting approximately two weeks, and were classified as medium-grade by GDACS. These fires, which occurred during the dry season, are estimated to have affected forested and agricultural areas in Laos's inland regions.

2) Supply-chain impact

• Agricultural supply disruptions: Production areas for Laos's major agricultural products including rice, coffee, and rubber may have been damaged, with short-term impacts expected on Southeast Asian agricultural supply chains
• Timber and forest product supply contraction: Timber resource losses and logging operation suspensions due to forest fires may cause regional disruptions to raw material supplies for construction materials and furniture industries
• Overland logistics transport delays: Fire suppression operations and visibility issues from smoke may have temporarily restricted traffic on major road networks within Laos
• Air quality deterioration impacts: Smoke spread to neighboring Thailand and Vietnam border areas, indirectly affecting manufacturing operations and air transport

3) Watch points

• Damage scale assessment: Need to monitor official damage investigation results from the Laos government and confirm specific loss scales in agricultural and forestry sectors
• Rainy season transition timing: Monitoring required for reduced additional fire risk with the start of rainy season in May-June and agricultural recovery conditions