(VOVworld) – Since early this year, the production and exports of Vietnam’s garments and textiles have seen positive signs as many enterprises have had enough orders for the entire year. But the world market is forecast to recover slowly as business sentiment remains precautious. VOV’s To Tuan reports…...

Vietnam’s garment and textile exports last year fetched 17.2 billion USD, up 8.5% against 2011 (Photo: Internet)

Vietnam’s exports have been more positive during the first months of this year compared to the same period last year. Most businesses have signed orders until the end of the first quarter, some even have contracts until late this year. The number of orders made by major importing markets including the US and Japan has risen. Key members of the Vietnam National Textile and Garment Group, Vinatex, such as Viet Tien Apparel Company, Phong Phu Corporation, and Duc Giang Garment Company continue to focus their sources to maintain the growth rate. The statistics by the Ministry of Trade and Industry show that Vietnam earned more than 1 billion USD from selling apparel products abroad in January, up 28.4% against the same period last year. But according to the Vietnam Textile and Apparel Association, the current slow recovery of major markets are requiring Vietnamese companies to outline sustainable solutions, be more pro-active in finding new markets, and implement synchronous measures to turn out products of higher added value. Nguyen Thi Thanh Huyen, Director General of Garment 10 Corporation, said ‘in the current situation, the only way to survive and develop is to reduce costs while increasing research and diversifying designs. It’s also necessary to improve business management capacity, arrange production reasonably, and skill training for workers and staff so that they can meet all importers’ requirements such as delivery time and pricing.’

Duc Giang Garment Company used to mainly export its goods to the US and the Europe with the ratios accounting for 55% and 30% respectively. Last year, the orders made by these countries dropped remarkably. This year Duc Giang has targeted to post earnings of 60 million USD. Hoang Ve Dung, President and General Director of Duc Giang Garment Company, suggested ‘the best way we can improve traditional markets is by developing a chain of suppliers, distributors, and producers. In addition, we are targeting new and potential markets especially Russia, Belarus, and Kazakhstan.’

The fact is that new markets in the Middle East and Africa can bring in revenue of up to 50 million USD a year. Le Tien Truong, Vinatex Deputy President, said ‘We should continue to focus on maintaining traditional markets and seriously consider the need to increase the market shares there to save production costs for developing new markets. Everybody knows that the US accounts for more than half of the world’s garment consumption thus 1 or 2% of the US market shares will be significant for the Vietnamese garment and textile industry’s growth.’

Over the past three years, Vietnam’s garments and apparel has gained a firm foothold in new markets like the Republic of Korea, Chinese Taiwan, and Russia. Vietnam’s key export markets remain the US, Japan, and Europe and the sector hopes to reach a growth of up to 12% this year.

To Tuan