Exports to come up trumps

The Ministry of Industry and Trade (MoIT) last week stated that the country’s total export turnover for 2012 was projected to be $109.5 billion against last year’s $107.4 billion. In this year’s first six months, Vietnam’s total export turnover was estimated to be $53.33 billion, up 22.7 per cent on-year.

“Exports are the most salient point in Vietnam’s economic situation now. However, we must do our best to reap another $56.17 billion for the year’s remaining months, or nearly $9.4 billion per month,” said Vu Van Cuong, chief of the MoIT’s Office.

According to the MoIT this target might be feasible thanks to the world’s high export prices and an increase in Vietnam’s export volumes. In this year’s first half, the agricultural sector’s total export turnover was estimated to be $10.43 billion, up 8.4 per cent on-year and occupying 19.6 per cent of Vietnam’s total export turnover. According to the Ministry of Agriculture and Rural Development, the sector’s total export turnover this year might be $25.5 billion, slightly higher than last year’s $25 billion, thanks to the sector expanding markets by 15 per cent.

Vietnam will likely reap $18.5 billion from exporting textiles and garments this year, up 14 per cent on-year. It is because the exports to the US and Japan are expected to grow 8.5 and 16 per cent, respectively, this year.

Also, the leather and footwear sector raked in $3.4 billion from exporting its products in this year’s first six months, up 25 per cent on-year. “The sector’s export turnover target of $7.3 billion is quite feasible due to the world’s increasing demand,” said Vietnam Leather and Footwear Association chairman Nguyen Duc Thuan.

The country’s processing industry fetched $33.2 billion from exports in this year’s first half, up 30.5 per cent on-year. This industry’s export turnover was expected to hit $34.8 billion for the year’s second half, thanks to the local gradual industrial production recovery.

The Ministry of Planning and Investment reported that the industrial production index for the processing industry rose 9 per cent on-year in this year’s first six months. Vietnam’s import turnover was $53.81 billion for 2012’s first half and expected to be $61 billion for this year’s second half. The trade deficit for 2012 was expected to be $5.31 billion, or around 5 per cent of total export turnover.