The establishment of clusters in BaH started back in 2004 with the help of and at the initiative of mainly international organizations and donors. It is important to highlight that the formation and initial functioning of clusters was supported by local and regional development agencies. During the establishment of Klaster "DRVO-PD" and wood Cluster from Banja Luka, the support was provided from higher levels of authority, entity ones, more specifically RARS, the Republic Agency for the Development of Small and Medium-Sized Enterprises

Wood and Furniture Industry Cluster "DRVO", with its central office in Prijedor, was founded on 1 August 2005, at the initiative of local enterprises, and with the support of the Development agency of city of Prijedor “PREDA”. Cluster “DRVO-PD” is an organization the primary objectives of which are business cooperation, education, exchange of information and development of companies and entrepreneurs active in wood and furniture industry. This organization gained the status of cluster after concluding the contract for the implementation of clustering project with the Republic Agency for the Development of Small and Medium-Sized Enterprises of Republic of Srpska - RARS, in May 2007.

“DRVO-PD” Prijedor initially gathered around 40 business entities as its members, engaged in: primary wood processing, construction joinery production, manufacturing of furniture and other wood products. Given that the main offices of member companies are located in 5 different neighbouring municipalities and towns (Banja Luka, Kostajnica, Kozarska Dubica, Novi Grad and Prijedor), this Cluster has a regional character.