Market for timber in YenBai province is quite clearly defined with two major products:  small timber for pulp and wood-chips and large-sized timber for furniture to be consumed either domestically or internationally. A financial analysis shows the obvious economic advantage of growing large-sized timber over small one. However, most of private forest growers have chosen to grow small timber. The study identifies a number of factors affecting forest growers' decision to cut early their trees which include  faster rate of returns from investment, financial status/needs of forest growers; current credit regulations; active role of timber intermediaries in distributing timber from producers to end users; high demand for small timber; and lack of information on profitability of large-sized timber.