Optimistic figures

According to the Ministry of Industry and Trade (MoIT), over the past nine months, industrial production value is estimated to have reached VND 574,000 billion, up 13.8 percent over the same period last year and 12 percent higher than the yearly target.

Total export turnover hit US$ 51.5 billion, up 23 percent, bringing an average export value in the first nine months of US$ 5.72 billion per month.

Exports of garments and textiles hit a record high of more than US$1 billion in July and the figure was still maintained during August and September. Some industrial products recorded a high export growth, including chemicals, steel and iron, transport, electric cable& wire, machinery and equipment.

During the reviewed period, the total import turnover is estimated to have hit more than US$60 billion, up 22.7 percent over the same period last year. The increase in the costs of imports is due to the soaring prices of raw materials. The trade deficit was US$8.57 billion, accounting for 16.6 percent of export turnover.

The supply of essential goods over the past nine months was ensured while the campaign “Vietnamese use Vietnamese goods” and programmes to bring goods to rural areas have received a positive response from people throughout the country. This has helped to increase domestic consumption and boost domestic business production.

With positive signs on the domestic and global markets, in the last quarter of this year, the industrial and trading sector is striving to post a growth rate of 14 percent in value and 19-21 percent in export turnover. The sector has also set a target of keeping the trade deficit at less than 20 percent.

Regarding export items in the remaining months of this year, the MoIT says that seafood exports fulfilled their set target and minerals will reach their given granted quotas. Therefore, industrial products such as garments & textiles, and leather and footwear will contribute substantially to fulfilling the country’s export target set for this year.

Le Tien Truong, Deputy General Director of the Vietnam National Textile and Garment Group (Vinatex) said that the garment sector’s exports have reached nearly US$8.1 billion over the past nine months, a year-on-year increase of 20 percent, 8 percent higher than the set target. The sector is now able to pass this year’s export target of US$10.5 billion, and reach up to US$11 billion.

Stepping up production and market control

The MoIT has asked Electricity of Vietnam (EVN) to ensure enough electrical power for production and consumers in the remaining months of this year and to devise plans to meet the peak demand the next dry season.

Dang Hoang An, EVN’s Deputy General Director, said the group has mobilised all its resources, including electricity generated from coal and gas, imports from China and closely followed hydrography and water level on rivers to regulate reservoirs. With these measures, EVN hopes to provide a larger amount of electricity for the economy and society, said Mr An.

The ministry has also directed businesses to step up production to ensure supply and demand for essential commodities and to carry out domestic trade promotions to stabilise the market. It has also asked the relevant authorities to enhance market management, and the supply of essential goods such as petrol, fertiliser, steel, printing paper, cement, rice and pharmaceuticals.

The Vietnam National Chemical Group (VINACHEM) and its members have upped its production capacity to meet the demand for fertiliser during the forthcoming winter-spring season.

Do Duy Phi, VINACHEM’s General Director, said that the group has directed its members to step up production and stockpile materials to meet the increasing demand and stabilise prices.

The ministry has also asked businesses to increase investments in projects to ensure the efficiency of already those in operation. Development policies for support services must be put in place as soon as possible.

As for businesses, they must improve the quality of market forecasts and analysis and adopt suitable import-export policies in line with WTO regulations.