In recent years, small and medium-sized enterprises (SMEs) in Binh Duong have received a great deal of support from provincial policies and guidelines. With the desire to reach out in the future, leaders of many SMEs in the province said they wished to continue to receive capital support, new market ...
Rising from provincial support policy
In recent years, together with the Government's policy of creating a transparent and equitable business environment for enterprises in general and SMEs in particular, Binh Duong province has been very interested in creating favorable conditions for business development, especially for SMEs. That support has stimulated the development of this type of enterprise.
Production activities at Lien Thanh Co., Ltd.
For example, Lien Thanh Company (Hoa Loi Ward, Ben Cat Town) specializes in buying and selling wooden furniture for export. The main export markets of the company are Australia, UK, Singapore, China. Over the years, the company has expanded into the US market and now it is the main market of Lien Thanh with the growth rate of over 30% per year.
Like other SMEs in the province, Lien Thanh keeps changing its business strategy, developing the scale of production by taking advantage of the support from functional departments. Tran Anh Vu, Director of Lien Thanh Company, said that owing to open investment policy of the province, their business operation had been very favorable. The company has been supported by provincial Center for Industry Promotion and Industrial Development Consultant funded 40% to purchase 2 new water compressors with capacity 30HP. Mr. Vu hoped that in the future there would be more SMEs receiving support for development.
Removing difficulties of businesses
According to experts, in the competitive perspective, SMEs are currently facing difficulties in capital compared to "big ones". That is one of the main reasons that reduce the competitiveness, even the survival rate of SMEs in the market. To wood enterprises, for example, capital constraints make enterprises more vulnerable to fluctuations in raw material prices due to insufficient reserves. It is a fact that SMEs are currently unlikely to have access to loans because of the limited collateral. Therefore, leaders of many SMEs in the province suggested the province would continue to support them in accessing funds and loans at preferential interest rates.
Regarding trade promotion support, leaders of many wood processing enterprises - one of the key industries of Binh Duong, suggested functional branches to support the construction of Binh Duong timber brand, specifically supporting wood enterprises in regularly participating in international furniture fairs; creating good conditions for Binh Duong Wood Processing Association to organize international furniture fair in Binh Duong.
Mr. Pham Thanh Dung, Director of Provincial Investment Promotion Center, said that for SMEs, every year, the center advised Department of Industry and Trade to submit to provincial People's Committee a program to support trade promotion at home and abroad based on the needs of SMEs and industry associations. In addition, Department of Trade and Industry has directed Trade Promotion Center to set up Trade Promotion Program for the period of 2018-2020 in the direction of supporting SMEs to consolidate the domestic market and focus on expanding foreign markets. In 2017, the center has planned for funding BIFA’s delegation to attend Vifa Home Fair in November 2017 in Ho Chi Minh City; inviting and supporting many businesses to organize Vietnam fair of machinery and wood material 2017 in August 2017 in Binh Duong ...
Reported by Tieu My – Translated by Ngoc Huynh
