Binh Duong export value up 16% in five months
Binh Duong export value up 16% in five months
Local export enterprises in the southern province of Binh Duong had signed contracts to export products until the end of the year, said an official from the Binh Duong Province's Association of Exporters and Importers.
Export value from the province in the first five months of this year increased 16 per cent to nearly US$5 billion against the same period last year, according to the People's Committee of Binh Duong.
Domestic invested enterprises achieved a year-on-year increase of 5.2 per cent in export value to $820 million, while foreign invested firms' enjoyed a year-on-year rise of 18.6 per cent to $4 billion.
Key exports including wood products, textiles and garments, leather, footwear and handicrafts had contributed to the surge, despite the economic downturn, according to the Binh Duong Importers and Exporters Club.
Pham Van Xo, head of the club, said the club's 156 members had all signed export contracts until the end of the year, and the apparel, leather and footwear industries had received large orders for cheap, quality goods.
Enterprises must cut production costs, apply modern technology and use a trained workforce to increase profits, Xo said.
This year, local leather and footwear enterprises were producing good designs and applying modern technology in production and management to reduce risks, he said.
Le Hong Phoa, chairman of the Binh Duong Apparel Association, said that local apparel exports increased 7.3 per cent in value in the first five months to $600 million compared to the same period last year, and Binh Duong was considered one of the leading apparel provinces in Viet Nam, he said.
However, the sector still faced many challenges, he said. Those included lack of capital, dependence on material imports and lack of workers.
Additionally, the economic downturn and technical barriers on export markets were also challenges for local exporters, Xo said.
Larger foreign firms were also dominating the market due to larger production scale and financial capacity that left local companies struggling to keep up with global demand.
Local enterprises should invest in infrastructure and technology to increase exports, he said.
Binh Duong exports are projected to increase 20 per cent in value this year to $15-16 billion, and key exports including wood products, textiles and garments, leather, footwear, latex and handicrafts are expected to achieve good results.
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