Along with other economic domains, Binh Duong’s FDI attraction and trade surplus in Q1 2014 continued reaching positive results in FDI attraction and trade surplus. This is seen as a foundation for Binh Duong to early complete its plan of 2014.

FDI attraction reaching nearly 73% of year’s plan

The province’s FDI attraction in Q1 2014 continued getting thriving. Particularly, the province absorbed 28 new FDI projects with a total registered capital of US$195mln and 18 extra-ones with US$553mln. The result has brought the total number of FDI projects in the province to 2,276 with a total registered capital of more than US$19.6bln.

The province’s FDI attraction during the period focused on industrial manufacture in province-based industrial parks (Ips). Particularly, US$667mln in FDI capital for industrial manufacture flew into in My Phuoc IP, VSIP… 

Diary products for export being processed at Dairy Products Joint Stock Company (Vinamilk)

It is known that the province has set its plan of striving to attract more than US$1bln in FDI capital in 2014. With the above result, the province has till now fulfilled nearly 73% of the year’s plan in FDI attraction. It is predicted that the province’s 2014 plan on FDI attraction is able to be fulfilled in Q2 2014.

Along with great capital, the province’s FDI attraction in Q1 2014 concentrated on projects with high technology and great competitiveness. This is in line with the province’s policy on sustainable industrial development.

The above results came from the efforts by the province in building a modern and synchronous infrastructure system and taking initiative in coordinating with sectors and enterprises to boost investment marketing via many channels…, thereby well tapping the province’s potentials for development and opportunely catching opportunities in FDI attraction.

According to provincial People’s Committee, FDI capital has continued fast flowing into the province. This is a positive sign because the foreign investment sector is very important for the local socio-economic development. In Q1 2014 alone, the foreign investment sector accounted for 67.1% of the province’s industrial production value. The sector also occupied 82.2% of the province’s total export turnover and made great contributions to the local State budget.

Advantage of trade surplus

The province’s export turnover in Q1 2014 achieved nearly US$3.2bln, up 12.7% compared to the corresponding period of last year. Of these, the foreign investment sector accounted for 82.2%, up 10.9% over last year’s same period.

Most main export products gained a high growth compared to last year’s same period. Particularly, furniture grew by 7.8%; garment and textile by 28%; footwear by 24.9%; electronics by 22.4%...All the four industries accounted for nearly 40% of the province’s total export turnover in Q1 2014.

One of advantages for the local exporters is that the price of materials has seen stability in 2014. The demand for goods consumption in some traditional export markets like EU, U.S, Japan, ASEAN countries…is on rise. Hence, the province has so far gained an increase by 10%-15% in the number of export orders. Most enterprises in the province have reached export orders until Q2, Q3 and some have had export orders for the whole year…

Noticeably, the province’s export turnover in Q1 2014 achieved nearly US$3.2bln while import value was estimated at more than US$2.7bln. The province’s trade surplus reached nearly US$500mln. This showed that province-based exporters have taken full advantage of the domestic supply chain to gradually reduce their import value. In addition, support industries to serve main export industries in the province and the country have constantly developed, satisfying exporters’ demand for production. All have contributed to reducing cost price and increasing enterprises’ competitive ability.

Possibly speaking, impressive results in Q1 2014 will be an important premise for Binh Duong to be able to early fulfill its 2014 plans in the two domains.

Reported by V.Giang-Translated by K.T