The Covid-19 epidemic could be better controlled, the Free Trade Agreement between Vietnam and the European Union (EVFTA) came into effect, the Chinese market gradually reopened ... are favorable conditions. In particular, internal resources from strong solutions of the Government, ministries, localities and efforts of enterprises are identified as opportunities for increasing export in the coming months.
Preparing to ship at an enterprise in the province
Maintain order
In the first quarter of 2020, the province's export turnover is estimated at over US $ 5.8 billion, up 3.6%. Notably, the key export items had a good increase like textiles up 3.7%; footwear increased by 3.1%; wooden products by 3.5%; computers, electronic products also increased by 3.4% ... compared to the same period in 2019. Meanwhile, the import value (NK) was estimated at 4.2 billion USD, up 4.3%. If comparing the positive export growth of localities and the decline of a series of neighboring countries, Binh Duong is considered to have successfully passed the first quarter of 2020. Foreign trade activities also brought a trade surplus of US $ 1.6 billion, creating a stable source of foreign currencies, which was a driving force for large turnover increase in the following months.
In the coming months, will the situation become brighter in the context that the world disease situation is still complicated? Answering this issue, representatives of many enterprises in Binh Duong wood export industry are still quite optimistic. Some businesses still ensure production progress in epidemics. In particular, many companies have built an online sales system to help proactively market and trade through e-commerce exchanges. The Binh Duong Wood Enterprise Community is deploying cooperation with major electronic exchanges in the world such as Alibaba Group, Amazon ... Binh Duong Wood Association (BIFA) supports members by continuously opening training classes. Online transaction training. Currently, transactions through e-commerce channels account for more than 50% of the orders of wood enterprises in the province.
Mr. Nguyen Van Le, Deputy General Director of Dong Hung Shoes Company (Da An City), said that to proactively export, complete orders received and seize opportunities right after the Covid-19 epidemic. being controlled, the company made efforts to restructure production and reinvest in technology. Mr. Le expressed his expectation that after the epidemic was controlled, the export situation of leather and footwear enterprises would be brighter thanks to the signed FTAs. One of the bases for businesses to have confidence is that the largest market for Vietnamese leather shoes, China, has initially been able to control the epidemic. The solutions of the Ministry of Industry and Trade have also initially removed difficulties for trade at border gates with China. This is a great opportunity to boost exports to this market as well as import raw materials from the "factory of the world".
Regarding internal resources, the Government, ministries, branches and localities are stepping up the implementation of solutions to remove difficulties for the economy. The Ministry of Industry and Trade has implemented a series of solutions such as requiring regional import and export management departments to create maximum conditions for issuing C / O to export enterprises; continue to cut unnecessary import and export procedures; request Vietnamese Foreign Trade Offices to seek new markets for Vietnamese goods. Although this information brings a lot of excitement for businesses, for the time being, Mr. Dien Quang Hiep, Chairman of BIFA said that the State Bank should have a solution to restructure loans, so that businesses will not be transferred to the list. bad debt policy, rescheduling, postponement of repayment period ... are very meaningful measures for enterprises.
Seize the opportunity
In the context of many export items facing difficulties and challenges due to the impact of the Covid-19 disease, many people said that this is also an opportunity for enterprises to restructure production and take steps. more sustainable, especially to take full advantage of the opportunities brought about by FTAs. A specific proof is that after the CPTPP Agreement came into effect in Vietnam, it has brought opportunities for exporting enterprises in expanding markets and enjoying preferential tariffs, especially for markets for which Vietnam has not had an Agreement. Free trade like Canada, Mexico, Peru ...
The European Parliament officially adopted EVFTA and the Investment Protection Agreement (EVIPA) which is especially important for export enterprises. According to Department of Industry and Trade, EVFTA is an opportunity and a tool for sustainable development, expanding market share and continuing to increase the export value in this market. The EU market plays an important role, helping businesses reduce dependence on a market, creating pressure to upgrade the economy from high standards of the market. In the first year EVFTA takes effect, the EU will eliminate import tax on 85% of tariff lines, equivalent to 70% of Vietnam's export turnover to this market. This number increased to 99% after 7 years of implementation. The remaining 1% is agreed by both parties to be reduced to 0% according to the tax rate within the tariff quota. Besides that,
To prepare for a solid step into this market, economist Vo Tri Thanh, former deputy director of the Central Institute for Economic Management, said that EVFTA is a high-standard free trade agreement, so also requires ask a lot of the State's regulation of market diversification, restructuring businesses and the economy. In order to boost exports into this market, businesses must plan to restructure, rebuild partner files, markets and the level of diversity to both take advantage, while reducing difficulties and real impact. benefit, as well as more sustainable development.
Mr. Nguyen Thanh Toan, Director of the Department of Industry and Trade, said that with strong support solutions from the Government, ministries and local drastically, it is expected that the export turnover will have a stronger breakthrough after the epidemic. It is important to create the best conditions for businesses to receive support and support early in the most difficult time. In the immediate future, the Department of Industry and Trade will coordinate with the concerned agencies to review the situation and demand for input materials, propose solutions to diversify and ensure sufficient supply for production activities.
Reported by Tieu My – Translated by Vi Bao
