Vietnam’s industrial sector has set a target to earn an annual export turnover of US$50 billion by 2010, making up 80 per cent of the country’s total projected export revenue, according to Le Van Duoc, director of the Ministry of Industry (MoI)’s Planning Department.
Key industrial export sectors include the textile and garment industry, targeted to obtain annual earnings of roughly US$10 billion, footwear $6.5 billion, electronics and computer components US$4 billion, and wood products US$5 billion by 2010.
The MoI is also planning to boost exports of products including electric wire and cable, ships, mechanical products, and handicrafts, with a view to reducing the nation’s reliance on the export of raw materials and minerals.
To reach the targets, the ministry has issued a 2006-2010 market development plan. It outlines targets for the proportion of exports to Asian markets to decrease from 48.8 per cent to 45.5 per cent by 2010, and those to the European market to increase to 20 per cent from the current 18 per cent. It also says exports to the North American market should increase to 24 per cent from 21 per cent while those to African markets will also grow to nearly 3 per cent of total exports by 2010.
Although the proportion of exports to Asian markets is expected to decline, it remains the nation’s largest market for industrial products. ASEAN bloc nations, Japan, and China remain important markets, but the ministry is also seeking to develop further trade with India, and the Republic of Korea.
Also, the industrial sector is strengthening its trade promotion activities and researching new markets, so as to ensure Vietnam’s export products such as seafood, textiles, footwear, and electronics remain competitive, said Duoc.
The director also emphasized the importance of ensuring enterprises have access to market information to help them implement trade development plans.
Vietnam earned $24.5 billion from the export of industrial products in 2005, accounting for 76 per cent of the nation’s total export revenue, a 23.1 per cent rise against 2004. Businesses under the MoI remitted VND37.89 trillion ($2.38 billion) in taxes to the state, an increase of 44 per cent over 2004, it reported.
In the period of 2006-2010, the industrial sector will need around VND900 trillion ($56.6 billion) of investment capital, accounting for 40 per cent of the entire society’s need for capital, said MoI. It has also set a target to obtain an average growth of 15.2-15.5 per cent p.a. for the period.
According to the MoI, in the period 2001-2005, the country gained an average growth of 16 per cent a year in industrial production value, exceeding the target set by the 9th Party Congress.
VNA
Vietnamese
