Support industries play an important role in economic development
If support industries are exploited properly and invested effectively, they will provide fresh impetus for economic growth.
Three major exhibitions on support industries are being held in Hanoi from September 15-19 by the Hanoi Trade Promotion Centre in collaboration with Thailand’s Reed Tradex Company and the Japan External Trade Organization (JETRO).
More than 200 stalls from 20 different countries are displaying machinery and products at “Industrial Components and Subcontracting” expo, Vietnam Manufacturing Expo 2011, and “Vietnam-Japan supporting industries” expo.
In her opening speech on September 15, Deputy Minister of Industry and Trade, Ho Thi Kim Thoa, said the three events will provide a good opportunity for Vietnamese and foreign businesses involved in support and manufacturing industries to set up long-term cooperation. Meanwhile, Vietnamese businesses will be able to increase the volume of locally-made products and find out suppliers who can provide them with high-quality products at reasonable prices.
These exhibitions will help managers evaluate the role of Vietnam’s support industries in order to devise measures to develop the sector in line with the country’s real demand in the market economy and its international economic integration, Thoa said.
JETRO Vice President Takezo Yanagida said in recent years, the number of Japanese investors has grown bigger in Vietnam than in other Southeast Asian countries and they have contributed to Vietnam’s economic growth by generating new jobs and transferring technology.
According to a JETRO survey, seeking locally-made components is one of the difficulties facing Japanese businesses in Vietnam. The low rate of local component production in Vietnam has forced them is lower than Southeast Asian nations, therefore, Japanese manufacturers in Vietnam have forced them to import components from other countries such as Thailand and China.
This, in part, will affect their export competitiveness and revenue, said Yanagida.
He said he hopes through the exhibitions, Japanese and Vietnamese businesses will be able to expand their cooperation in the near future.
In the process of national industrialization and modernization, support and manufacturing industries play an important role in attracting foreign direct investment (FDI), speeding up the development of domestic small and medium-sized enterprises, creating highly competitive products and developing the domestic market.