Nghe An flexibly seeks export markets

Flexible adaptation

In recent times, in addition to traditional markets, many businesses have sought to expand exports to Middle Eastern and European countries, offering products suitable for niche markets, overcoming objective difficulties from the world market. Along with the active and breakthrough participation of the Department of Industry and Trade of Nghe An and related departments and branches, it is necessary to mention the determination and efforts of export enterprises.

The business community in the province has proactively promoted trade and sought markets. Many businesses "sticking" to the market such as Nafood, Vinacolex, wood pellets, Van Phan fish sauce, Bien Quynh, NAP Food... actively participated in international fairs. BVN Thanh Chuong Joint Stock Company, MDF Thanh Thanh Dat Wood Joint Stock Company... faced many difficulties at the beginning of the year, but thanks to efforts to seek markets, they have recently received better orders. During the year, Van Phan Fish Sauce Joint Stock Company exported 11 shipments of fish sauce to Japan...

Van Phan Fish Sauce Joint Stock Company exports goods to Japan. Photo: TH

Bien Quynh Joint Stock Company specializes in processing and manufacturing prestigious seafood products of Nghe An province. Mr. Hoang Van Long - Director of Bien Quynh Joint Stock Company said: The company is located in Hoang Mai town, where there is an abundant and rich source of natural seafood. Natural advantages, modern and professional equipment, and human resources are the basis for the development of the enterprise. In recent years, in addition to supplying domestic seafood, the company has been developing the market abroad and received positive results. In November, the company continued to export the second order to the US market (grilled fish products).

NAP Food Culinary Development Company Limited (Vinh City) has invested in modern production lines and machinery to produce specialty products from Nghe An eel such as eel soup, eel vermicelli and instant eel porridge. Thanks to that, NAP Food's eel products, in addition to conquering the domestic market, have signed many export contracts abroad. Ms. Tran Ha Nhung - Director of this company said: Previously, instant packaged eel products were exported to Australia, England, Korea, Japan with a quantity of 12-15 containers/year; in 2023, the Czech Republic's partner signed a product consumption contract with a quantity of 4 containers/year. Up to now, Nghe An eel products have been officially exported to the following countries: Australia, Japan, Czech Republic and soon to be China, USA and Singapore.

Bien Quynh Joint Stock Company exported the second order of the year to the US market. Photo: TH

In general, in 2023, global growth slowed down due to tight monetary policy, the war in Ukraine... affecting the production and business activities of enterprises. However, the import and export activities of enterprises in the province in 2023 still recorded growth compared to the same period in 2022. The export turnover of goods is estimated at 2.45 billion USD, up 12.02%, reaching 98.1% of the plan.

Diversified promotional activities

Also in 2023, Nghe An Department of Industry and Trade actively connected and supported businesses in many activities to expand and promote export markets. In coordination with the Vietnam Trade Office abroad, the Trade Promotion Agency - Ministry of Industry and Trade regularly provided information on market situations, products, and trade barriers to import and export businesses.

Export promotion activities are regularly and diversely implemented and initially achieved results: Organizing trade delegations abroad (Australia, New Zealand), participating in the working delegation of Nghe An province to introduce potentials, promote exports in the United States, Singapore, Taiwan...; organizing for businesses to attend the Finefood International Trade Fair (Sydney), Vietnam - China International Fair (Lao Cai), FoodExpo Food Fair (Ho Chi Minh City).

Promoting products and connecting trade between Nghe An and Australian businesses. Photo: TH

Many conferences, seminars and training courses were also held to support businesses in export activities such as: Conference "Meeting the Vietnamese Counselor in New Zealand with Nghe An import-export enterprises"; Workshop on Plan to take advantage of new generation FTAs ​​for the Agricultural/Textile industry; Training conference on applying traceability to support trade promotion for small and medium enterprises,...

The Head of the Import and Export Management Department, Nghe An Department of Industry and Trade shared: “When participating in international trade fairs and domestic fairs in Lao Cai and Ho Chi Minh City, in addition to selling and introducing products, it is more important that businesses connect with partners and expand their markets. In January 2024, we will continue to organize conferences to connect with businesses in the US, and then Europe, ASEAN, etc. And activities like this are included annually. Taking advantage of incentives from FTAs ​​is also done through consulting and guiding businesses to meet the requirements of the Rules of Origin (CO), in 2023, it will reach nearly 11,000 sets, an increase of 25% compared to 2022, among the top in the country”.

Many trade promotion and product advertising activities organized by the Ministry of Industry and Trade have brought about clear results. Photo: TH

However, the two sectors that were previously among Nghe An's top export sectors, wood chips and garments, have faced many difficulties last year due to reduced consumer demand. Regarding this issue, Mr. Ngo Chung Khanh - Deputy Director of the Multilateral Policy Department, Ministry of Industry and Trade, said that currently, Nghe An textile and garment enterprises are only focusing on the East Asian market; the European market is low, accounting for only 6.5% of the market share. Focusing too much on the near-term market will not be effective, leading to a deficit, and not effectively utilizing the FTAs. Meanwhile, enterprises generally lack and are weak in capital, technology, and capacity, mainly processing.

Faced with the fluctuations of the world economy, the Deputy Director of the Multilateral Policy Department said that businesses need to diversify their markets and take advantage of FTAs. To cope with rapidly decreasing demand, businesses cannot depend on traditional markets, but need to diversify into new markets. Textile and garment businesses must find their own market segments, especially markets in Latin America, Africa and the Middle East.

Call for investment, connecting supply and demand

Export activities in 2024 are forecasted to continue to face a number of difficulties and challenges: Input material prices for production are forecast to continue to increase, inflation is high in markets, especially Vietnam's key export markets.

Graphics: Tran Hai

Sharing about the goal in 2024, Mr. Pham Van Hoa - Director of the Department of Industry and Trade said, we strive to promote export development, expand markets, and strive for a total export turnover of 3 billion USD in 2024. The solution that the industry focuses on is still promoting the development of export markets through activities connecting export supply and demand, participating in international fairs and exhibitions... to find and diversify consumption markets for the province's export products, avoiding dependence on one market to limit risks.

At the same time, the industry actively promotes investment, calling on domestic and foreign investors to invest in Nghe An to produce export goods. Researching market demand to advise on the production of goods suitable to the needs of the world market; quickly and strongly shifting to official export... The Industry and Trade sector identifies these as important solutions to create a breakthrough in creating a rich source of export goods, increasing export turnover.

Enterprises and partners check the quality of exported fish sauce products. Photo: TH

Difficulties lie ahead, but with their own internal strength, plus the participation of relevant departments and sectors, businesses still have many opportunities to expand export markets and increase the value of goods.

In 2023, Nghe An's export goods are quite rich and diverse, with more than 70 items/groups of items, many of which have quite good growth in turnover. Enterprises in the province have exported goods to the markets of 147 countries and territories, an increase of 10.5% compared to 2022. Some major export markets such as: China accounts for over 20% of the total export turnover of goods in the province; Hong Kong accounts for over 13%; South Korea accounts for 12%; the United States accounts for 11%; Taiwan accounts for 5%;... New markets are continuously expanded and exploited by enterprises, typically: Mozambique, Serbia, Tunisia, Rwanda, Belize, Benin, Mauritania, Dominican Republic, Maldives, Paraguay, ...

Source: https://baonghean.vn/nghe-an-linh-hoat-tim-kiem-thi-truong-xuat-khau-post281999.html