Expanding opportunities for exports

In the first nine months of 2023, the total export turnover of goods nationwide is estimated at 259.67 billion USD, helping Vietnam achieve a trade surplus of 21.68 billion USD. Although exports decreased compared to the same period, it demonstrated the efforts of all sectors, levels and the business community. Notably, export activities in the past four consecutive months have maintained growth momentum, showing signs of positive recovery.

Processing seafood for export at Cafatex Seafood Joint Stock Company (Hau Giang). (Photo: TRAN QUOC)

To achieve the above results, it is impossible not to mention the contribution of market development and trade promotion activities with the drastic and effective implementation of many foreign trade support solutions, as well as the application of many new and suitable promotion forms to boost import and export.

Signs of recovery

According to the report of the Ministry of Industry and Trade, in September, the export turnover of most major products achieved positive growth compared to the same period. For example, the export of agricultural and aquatic products recorded an increase of 31.1%, estimated at 3.01 billion USD. The most prominent in this group was the export of fruits and vegetables, up 160%, estimated at 650 million USD; rice increased 80%, estimated at 495 million USD; pepper increased 22.7%; cashew nuts increased 39.6%;... The export turnover of the processed industrial products group also increased 1.8%, estimated at 26.65 billion USD.

Of which, computers, electronic products and components; phones of all kinds and components; machinery, equipment, tools, spare parts; textiles; wood and wood products;... all achieved increases of 2-10%. Compared to the previous month, many industries still maintained their growth such as: machinery, equipment, tools, spare parts increased by 4.9%; cameras, camcorders and components increased by 21.6%.

Overall, despite facing many difficulties (total export turnover in the first nine months decreased by 8.2% compared to the same period last year), export activities also had bright spots. That is, the export decline rate of 100% domestic-owned enterprises (down 5.7%) was lower than that of foreign-owned enterprises (down 9.1%). In addition, there were 32 items with export turnover of more than 1 billion USD, equal to the same period last year.

Many groups of agricultural products, rice, and fruits took advantage of the opportunity to open the market and increase prices to boost exports, so the growth rate was the highest among the groups (up 3.1%). Vietnam has also done well in diversifying its markets, with exports to major markets such as the US and EU decreasing, but exports to African countries, Eastern Europe, Northern Europe, and West Asia increasing.

In addition, a series of solutions to promote exports to countries sharing borders have been effectively implemented, helping to avoid congestion of basic goods (even during peak season), contributing to increasing export turnover to the Chinese market - the only major export market of Vietnam - achieving positive growth (up 2.1%).

General Director of the General Statistics Office, Nguyen Thi Huong, commented that the export turnover of goods has gradually improved over the quarters. Specifically, the export turnover in the first quarter of 2023 decreased by 11.9%; in the second quarter it decreased by 11.8% but in the third quarter it only decreased by 1.2% compared to the same period. From these positive signals, it can be expected that world demand is showing signs of recovery, Vietnamese enterprises are starting to tend to import more, thereby creating momentum for Vietnam's exports to achieve good growth in the last months of the year.

Find more markets

The Import-Export Department (Ministry of Industry and Trade) assessed that import-export activities are forecast to continue to flourish in the last months of the year due to support from factors such as inflation tending to cool down in major economies such as the US, Europe, etc., inventories in countries are gradually decreasing. Meanwhile, demand for goods also often increases during the year-end holidays. Vietnam is also expected to benefit from the shift in supply chains of multinational corporations.

In fact, many corporations and retail/wholesale distribution channels are promoting diversification strategies, ensuring sustainable supply sources and have chosen Vietnam as a strategic location in their global supply chains. In the series of events "Connecting international supply chains" (Viet Nam International Sourcing 2023) held last September in Ho Chi Minh City, a series of large corporations such as Aeon, Uniqlo (Japan); Walmart, Amazon, Boeing, AES (USA), Carrefour, Decathlon (France); Central Group (Thailand); Coppel (Mexico); ... were present to survey, work with suppliers, visit the production process of factories, thereby finding more reputable purchasing partners from Vietnam.

In the context that many traditional export markets of Vietnam are still facing difficulties, the Ministry of Industry and Trade said it will continue to promote negotiations, sign new agreements, commitments, and trade links to diversify markets, products, and supply chains.

Accordingly, the Ministry has coordinated with ASEAN countries to conclude negotiations to upgrade the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA). Currently, the draft Submission to the Government on signing the Protocol amending the AANZFTA Agreement is being finalized, aiming to sign the Protocol with ASEAN countries, Australia and New Zealand in 2023. Regarding the United Kingdom's (UK) negotiations to join the CPTPP Agreement; the Ministry of Industry and Trade has also chaired and coordinated with relevant ministries and branches to develop plans, prepare content and attend three official meetings at the head of the negotiating delegation level and three CPTPP ministerial meetings to discuss this issue.

At the CPTPP Council meeting held in New Zealand last July, Minister of Industry and Trade Nguyen Hong Dien and authorized representatives of the countries signed the UK's accession document.

The Ministry of Industry and Trade is currently preparing a dossier to submit for ratification of the UK's accession to the CPTPP, which is expected to be submitted to the National Assembly at its first session in 2024. Regarding the Vietnam-Israel Free Trade Agreement (VIFTA) that has just been signed, the Ministry of Industry and Trade is carrying out internal procedures in accordance with the provisions of the 2016 Law on International Treaties to submit to the Government for approval of VIFTA, and to soon put this agreement into effect, expected from early 2024. At the same time, the Ministry will research, develop and implement activities to widely disseminate VIFTA's commitments to the business community.

According to Nhan Dan Newspaper

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