Joy from end-of-year orders

Enterprises in Binh Duong are accelerating the completion of orders signed in last months of the year. By this time, some industries, many enterprises are about to complete the plan.

Binh Duong export growth is good, because of the market expansion. In photo: Wood production at Lam Viet Wood Processing Joint Stock Company. 

The wood industry will finish soon

According to Binh Duong Furtniture Association (BIFA), more than $3 billion of revenue of the timber industry in the first nine months of 2017, an increase of 19.1% compared with 2016, has completed the plan three months earlier. Since the beginning of the year, Binh Duong's wood industry has grown in both quantity and quality. The good news is that in traditional markets, such as the European Union (EU) and the United States, the wood industry in Binh Duong continues to maintain steady growth. Meanwhile, the number of orders from now until the end of the year is still large is what makes wood businesses very excited.

Huynh Quang Thanh, Chairman of BIFA, said that wood enterprises had gradually adapted to challenges, they were more proactive in order to survive in a fierce competition between export markets and difficulties in country.

To textile and garment industry, the export turnover in 9 months reached |$2.463 billion, up 16.3%; footwear reached nearly $1.917 billion, up 18.8% over the same period in 2016. These two sectors completed 80-90% of the year plan. Meanwhile, many contracts have been signed from now to the end of the year. Nguyen Quang Vu, Director of Prowin Company, said instead of regularly outsourcing for big brands like Adidas, Nike ... as before, footwear enterprises in Binh Duong have been more active in creating new models and their own brand. That is a good change of the footwear industry.

It can be said that the initiative to build their own brand and consolidate reputation has helped Binh Duong footwear industry to stand firmly against the fierce competition of enterprises in the region. Importantly, the footwear export market has expanded; the dependence on a given market has been reduced.

New market confidence

According to Department of Industry and Trade, traditional export markets of ceramics, footwear, leather and footwear industries of Binh Duong, such as USA, EU, Korea and China, are growing quite well. As for the EU market, according to the commitments made by Vietnam-EU Free Trade Agreement, from the beginning of 2018, tax on some textile and garment exports will be reduced by 0%. Therefore, the forecast is that textile and garment exports to the EU market would increase in the last months of 2017. With this momentum, textile and garment enterprises have many advantages to complete the year plan. However, enterprises in the province are still actively expanding export markets to ensure stable output in the long run.

Vuong Sieu Tin, Director of Phuoc Du Long Ceramic Company, informed that his company has just received a large export order from Oman. This is a traditional ceramic export market of China. This hundreds-of-thousand-valued shipment will be a good start for the pottery industry to expand its market to the Middle East.

Luu Phuoc Loc, Director of Mtrade Company, said that in 2017 many wood enterprises in the province attended the Vietnam - South Africa trade promotion and tourism seminar to seek more trade opportunities. There are a number of cooperation opportunities between wood enterprises of Binh Duong and South Africa. This market is where Binh Duong's wood industry wants to reach. The cooperation with South Africa would help wood products of Binh Duong enterprises step by step enter the potential African market.

According to experts, in recent years, Binh Duong has actively expanded foreign exchange relations with countries and territories in the world. Cultural and economic exchanges not only aim at attracting financial resources from foreign investors, but also expanding the export market for enterprises. Besides, enterprises in the province have actively participated in trade promotion events at home and abroad to find potential customers. This will have a positive effect on the new export market. Only with a few products to affirm the name in foreign export market, market share of Binh Duong will start to expand.

Reported by Xuan Vi – Translated by Ngoc Huynh