Garment sector set to enjoy growth rate of 11.2%

The local garment and textile sector is targeting an export turnover of US$39 billion this year, marking increases of 11.2% and 0.2% compared to 2020 and 2019, respectively, according to the Vietnam Textile and Apparel Association (VITAS).

Despite a negative impact of the prolonged COVID-19 pandemic, the sector has introduced a range of solutions to weather the crisis and maintain stable export growth, said Truong Van Cam, VITAS general secretary, on December 7.

The high growth was attributed to the recovery of major global markets, especially the European Union and the United States, along with taking advantage of the new generation free trade agreements that Vietnam has signed with its partners.

In addition, the fact that the Vietnamese Government has changed its zero-COVID strategy to flexible and safe adaptation and effective control of COVID-19 has facilitated business operations of various sectors including the garment sector.

In its scenarios, the sector is set to rake in US$42.5-43.5 billion, US$40-41 billion and US$38-39 billion from exports in 2022 if the current COVID-19 outbreak is fully brought under control in the first quarter, second quarter and late 2022 respectively.

Cam said the VITAS will continue connecting local enterprises to foreign-invested firms to form supply chains and expand export markets. It will actively participate in many major international organisations, including the International Textile Manufacturers Federation (ITMF), the ASEAN Federation of Textile Industries (AFTEX), and the Asia Fashion Federation (AFF).

The VITAS is scheduled to hold an annual conference on December 17 to outline development orientations for the sector in 2022. Leaders of ministries, relevant agencies, scholars, economic experts, and representatives of over 500 local garment firms are expected to attend the meeting.

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