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| Businesses make efforts to find export partners. Photo: L.T |
Hold export orders
Despite many difficulties in raw material sources, in the first half of 2024, Long Son Joint Stock Company still strives to keep cashew export orders. Sharing with us about the company’s efforts, Mr. Vu Thai Son, General Director, said that this year, raw materials imported from Africa are very difficult due to sudden contract termination of partners, demanding price increases, which greatly affected the company’s exports. However, the export unit price increased, so in the first 5 months of 2024, Long Son Joint Stock Company achieved good export results.
In the seafood sector, this year businesses also overcame many barriers to speed up exports. Mr. Nguyen Quoc Hai, Hoang Long Seafood Company, said that after many difficulties from the end of 2023 and early 20204, in recent months, the business has accelerated exports. Currently, on average every week, the company exports about 20 containers of frozen pangasius to China, Brazil… it is expected that the company’s export orders in the second half of the year will continue to increase.
In addition, according to many businesses, thanks to good preparation, businesses quickly approached the market to increase export orders as soon as the market bounces back; At the same time, they reduce unnecessary costs, but still ensure the quality of exported goods. Mr. Nguyen Thanh Phong, Hana Logistics Company, said that export orders of businesses are growing well, each week the company carries out export procedures for about 40 shipments of fruit. Ms. Duong Minh Tue, Vice President of Ho Chi Minh City Handicraft and Wood Processing Association, said that in the first 5 months of 2024, export sales of wood industry enterprises reached about 6.1 billion USD, of which, Ho Chi Minh City alone gained the growth of 31% over the same period in 2023. Thus, sales in 2024 are approaching the level of 2022.
According to Ho Chi Minh City statistics, export turnover in the first 5 months of 2024 reached 18.6 billion USD (up 14.2%), which is resulted from both the support and facilitation of authorities and from the great efforts of businesses. Mr. Nguyen Ngoc Hoa, Chairman of Ho Chi Minh City Business Association, said that from the beginning of the year until now, despite difficulty, , Ho Chi Minh City businesses have made great efforts to get orders again. Some businesses have orders until the third quarter of 2024, but in order to sign them, they have to endure pressure from reduced unit prices and high technical barriers. However, businesses still strive not to lose orders, accept reduced income and find solutions to reduce costs and maintain jobs for workers. According to the assessment of the Department of Industry and Trade of Ho Chi Minh City, with the above growth rate, these products have returned to the export turnover level of 2020, that is, before the time of fluctuations in the supply chain, logistics and other related geopolitical conflicts…
Export turnover increased dramatically
According to reporters at the port border gates, export goods witnessed an impressive increase. In particular, at Cat Lai port, export volume increased to more than 1 billion USD in the first 5 months of the year. Mr. Duong Quoc Hung, Captain of the Export Cargo Procedures Team – Saigon Port Area 1 Customs Branch, said that the number of export declarations and turnover in the first half of the year was quite high. On average, each day, the unit clears 800-1,000 customs declarations (equivalent to about 2,000 containers). As of early June 2024, Saigon Port Area 1 Customs Branch had cleared customs procedures for over 130,000 export declarations, with a total turnover of nearly 9.3 billion USD, an increase of more than 1.2 billion USD compared to the same period last year.
Actual results show that production and export activities of enterprises in Ho Chi Minh City have grown well in recent times. Speaking at the recent Export Forum, Vice Chairman of Ho Chi Minh City People’s Committee Nguyen Van Dung said that as an economic leader. Ho Chi Minh City always actively and proactively participates in the process of international economic integration, promoting digital transformation, green economic development and circular economy; Focus on synchronously implementing many solutions to support solving difficulties and obstacles for businesses. In addition, the city has actively issued many mechanisms and policies to support businesses in converting production models, enhancing the application of modern technology associated with the orientation of green production and green export, contributing to improving competitiveness and position of Vietnamese export goods in the international arena.
Thanks to the efforts of the business community, along with the city government’s export support policy, Ho Chi Minh City has been the leading locality in import-export turnover for many years. In 2023, Ho Chi Minh City’s total import-export turnover reached 97.8 billion USD, of which export turnover gained 42.5 billion USD and import turnover gained 55.3 billion USD. In the first 5 months of 2024, Ho Chi Minh City’s import-export turnover continued to recover and grow after adapting to major fluctuations in the world market. Most export turnover by product and market increased over the same period, which is a bright spot and brings expectations of growth for the last months of 2024.
To support exports for businesses, Ho Chi Minh City directs units to research and learn about the practical difficulties challenging businesses, and their ability to meet export standards when participating in the international goods supply chain. From there, they encourage people to advise and propose to the Ho Chi Minh City People’s Committee solutions to support businesses in expanding export markets and deeply participating in the international goods supply chain. At the same time, focus on organizing many export promotion activities towards key markets and new, potential markets, supporting domestic businesses to effectively take advantage of import tax policies from free trade agreements, especially the new generation free trade agreements such as CPTPP, EVFTA,… to expand export markets.