Staples maintain their position

In 2012, export turnover of products such as furniture, garment & textile, footwear shows encouraging results. Of these, the export turnover of timber products is estimated at US$1,520mil, a 5.6% increase from the same period last year, accounting for 12.7% of the total provincial export turnover.

Right from early year, aside from traditional markets such as the US and Taiwan, orders from Japan and China jump strongly, increasing price of furniture products at 5-7% from 2011. Along with the furniture item, export turnover of garment & textile in this year increases sharply with the revenue of US$1,469mil, a 2.7% increase from the same period last year.

Though orders of garment & textile products decrease in quantity, big enterprises sign many high valued contracts with the main importers from the US, EU, Japan, Korea… Export prices of sport coat and T-shirt for men increase 5-8% from 2011.

Besides, export turnover of footwear is estimated at US$968mil, a 6.8% increase from the same period last year, accounting for 8.2% of the total provincial export turnover. Right from early this year, the garment & textile industry reaches a fair growth. Its traditional market includes the US, EU, Japan and Brazil.

While the mentioned staples firmly hold their positions, items of handicraft and rubber latex encounter difficulties, owing to decrease on demand and price.

Domestic businesses face difficulties

In 2012, export turnover of domestic businesses is estimated at US$2,207mil, up only 3.5% from the same period last year, a very low increase from FDI businesses. The low growth of local enterprises in the province is caused by difficulties, especially shortage of capital source. Most of the local businesses said that lending interest rate remains high and input expenses such as petroleum, transport, electricity increase along. They are main reasons making local businesses face obstacles, declining export growth.

Aside from the above difficulties, trades using many laborers such as footwear, garment & textile, porcelain, furniture… also meet difficulties of manpower, production technology, trademark advertisement…

As such, some exporters must sell their products through agents. This leads a low profit, owing to sale on commission. There are only 6 companies joining in fairs held at foreign countries in 2012.

  Manufacturing floorboard for export at Sao Nam Company.

Local businesses in dire need of assistance from the State

Facing the difficulties, the provincial People’s Committee and functional agencies seek out measures to solve them. Accordingly, the provincial People’s Committee steered agencies to constantly implement seriously the Government’s Resolution No.13/NQ-CP and the NA’s Resolution No.29/NQ-QH to grasp businesses’ production and business in a bid to timely solve their obstacles as well as assist them to approach capital sources and potential markets…

Implementing the instruction, the provincial department of Trade and Industry well implemented projects and programs of trade promotion, helping enterprises expand markets and drive up exports.

Specifically, the department assisted 35 businesses to join in trade fairs held inside and outside of the country. In addition, the department launched the programs themed international economic integration, e-commerce, Vietnamese people give priorities to use Vietnamese goods…

Together with the above programs, Nguyen Huu Ly, vice director of the Center of Trade Promotion under the department of Trade and Industry, said the Ministry of Trade and Industry in cooperation with domestic businesses and functional agencies in 2011 held visits to Myanmar to seek out investment opportunities. Of these, there were about 20 businesses in Binh Duong joining in the visits. Myanmar is now a potential market. After the visits, many local businesses keen on penetrating into this market.

Reported by B.Anh – Translated by A.C