Many fields show a fair growth

In the first quarter of 2012, despite difficulties such shortage of capital source, high lending interest rate, price hike, human resources change after Tet holiday, local industrial production has been in stability and development. The local industrial production value in Jan-March reached over VND27tril, a 10.5% rise from the same period of the last year. Some industrial products gained a fair growth. They included footwear, fiber and textile, clothes, animal’s food, pharmaceutical product.

Fields of trade and service, import and export showed a fair growth. The total retail and service turnover obtained over VND16tril, a 19.8% increase from the same period of the last year. The local export in the first quarter showed good changes, owing to increase in orders at companies.

Export turnover in the first 3 months of this year was estimated at over US$2.4bil, an 18.5% rise over the same period last year. The province’s key export items remain rubber, footwear, bike and bike spare-part, timber product and so on.

In addition, in the first 3 months of this year, the local economy won many achievements of investment attraction. The locality has so far lured 314 newly-registered projects and 104 capital-added ones, capitalized at over VND2tril and granted licenses to a project with the total capital of over VND3tril. As such, the locality has thus far had 12,342 businesses with the total capital of over VND94tril and 209 projects worth more than VND46tril. As for foreign investment, the locality has attracted 14 new projects, capitalized at US$1.228bil and 13 capital-added ones worth over US$166mil.

Solving obstacles for businesses

Vo Van Cu, director of the provincial department of Trade and Industry said that aside from efforts to maintain operation, some businesses have encountered difficulties. Specifically, increase on gas price has impacted on pottery businesses’ operation. Additionally, the local export porcelain market including the EU has been in a public debt crisis, so this product’s consumption has met disadvantages.

Meanwhile, the EU and US are traditional markets of local timber industry but the industry’s export has been in difficult. One of difficulties for businesses is shortage of production capital. According to the provincial People’s Committee vice chairman Tran Thanh Liem, small and medium businesses are in need of capital source but capital approach is very hard for them.

Shortage of capital, increase on lending interest rate, price hike on material source… are one of reasons impacting on businesses’ operation, especially companies relating to production of cement, steel, brick, porcelain…

In the face of this situation, Le Thanh Cung asked the local departments of Trade & Industry and Planning & Investment and agencies and sectors to grasp businesses’ difficulties in a bid to unclog standstill. In addition, the province will hold meetings and dialogues with businesses and sectors to solve petitions and obstacles.

Urgent deeds

Apart from 12 key contents in the first quarter, Le Thanh Cung asked departments, sectors and localities to mobilize all sources to repair charity and gratitude houses and help privileged families as well as launch the 65th anniversary of the Day for War Invalids and Martyrs (July 27). Besides, the province chairman asked relative sectors to improve provincial competition index and offer favorable investment environment for companies.

Furthermore, the locality will focus on building new rural areas, developing hi-tech agriculture, preventing epidemics and so on.

Reported by D.Hau – Translated by A.C