HCM City sets high growth targets for industrial production, retail, exports

Jan 14th at 12:11

14-01-2021 12:11:35+07:00

HCM City targets 5 per cent industrial growth in 2021 and its four key sectors growing by at least 6.7 per cent, according to its Department of Industry and Trade.

The four are food processing, pharmaceutical chemicals-rubber-plastic, mechanical engineering, and electronics.

The city also targets 10 per cent growth in retail sales of goods and services and exports to VND905.563 trillion (US$39 billion) and $49.2 billion.

Speaking at a meeting held on Wednesday to review the industrial and trading sectors last year and set tasks for this year, Nguyen Phuong Dong, the department’s deputy director, said: “In 2020 city enterprises restructured their production to make it market-oriented. The city’s industrial sector shrunk by 4 per cent last year due to the impact of the Covid-19 pandemic.

“The electronics sector grew by 18.7 per cent. Local and foreign firms made products that … were exported to many countries and territories.”

Computer and electronic components exports were worth an estimated $17.83 billion, an increase of 18.1 per cent from 2019, he said.

The pharmaceutical chemicals-rubber-plastic industry grew by 4.7 per cent.

“Many local rubber and plastic firms have successfully participated in global supply chains for the automobile, motorbike, mechanical engineering, and electrical and electronics industries.

“Thanks to their proactive investment in technology and production management with an eye on long-term development, their products have high added value and meet the requirements of large multinational companies.”

The food and beverage industry’s output fell by 0.7 per cent due to the impact of the pandemic and Decree No 100 that stipulated huge fines for drunk driving.

The mechanical engineering industry’s output fell by 12.4 per cent mainly due to a decrease in the production of motor vehicles.

Due to the impact of the pandemic, output dropped sharply in the second quarter and then recovered gradually, especially from September.

Retail sales of goods and services were worth an estimated VND1,224 trillion ($52.9 billion), a decrease of 1.3 per cent.

Dong said this year the industrial sector would step up administrative reform, work closely with business groups and official agencies to promptly address difficulties faced by businesses, and carry out programmes to help businesses restore production and expand their markets.

Ly Kim Chi, chairwoman of the HCM City Food and Foodstuff Association, called on the department to organise more trade promotion programmes to help firms promote their products and expand their market.