Business
Improving Vietnam’s export competitiveness
In order for export to grow sustainably, in addition to the growth rate, Vietnam need to focus on stabilizing production and increasing added value.
According to statistics from the Ministry of Industry & Trade, after 8 months, total value of Vietnam’s export is 133.5 billion USD, which is an increase of 15%. In the context of the current difficult global economy, the growth rate of Vietnam’s export is a positive result. As such, this has come from the effectiveness of Vietnam’s participation in free trade agreements. This has influenced enterprises paying more attention in production, which results in an increase in export.
Besides, price for goods in the global market is increasing, including the input price, as well as the processed goods. As such, with the increase amount of export has lead to proportional increase of value.
Moreover, it worth mentioning the effort from the government in administrative reforms and removing difficulties for enterprises, which are in forms of discarding barriers and simplifying administrative procedures. Though the current situation is showing that it is a long term effort, but with the preliminary result, Vietnam has partially success and received positive responses from the business community. Besides, Vietnamese goods and products such as textile & garment, shoes, smart phones, computers are increasing as a result of increasing demands for these products in the global market.
In order for export to grow sustainably, at present, Vietnam export focuses on growing in quantity, which has a certain limit to grow. However, this cannot be a long term solution, as grow in quantity will not lead to sustainable development. In long term, Vietnam need to focus on stabilizing production and increasing added value. Besides, export activities should go in the direction of increasing in quality and the objective of socio-economic development in poor areas, as well as raising the living standard of citizens.
Currently, goods for export from Vietnam almost have low added value in the value chain. Therefore, enterprises should expand and move to other production phase with higher added value. It is also necessary to focus on developing brands, so that the products will get attention from customers through its own brands.
To support enterprises developing its markets and adopting to barriers from import market, the Ministry of Industry & Trade is pushing forward with administrative reform in overall administrative procedures in general, and in export in particular. Evidently, On September 20, Minister of Industry & Trade Tran Tuan Anh signed the Decision No. 2610a/QD-BCT on removing and simplifying business and investment conditions under the state management responsibility of Ministry of Industry & Trade for the period 2017 – 2018. Besides, agencies also proposed to reduce and simplify business conditions with an aim for the benefits of enterprises, citizens and sustainable development of the society. In which, the total business conditions have been reviewed are 1,216 for 27 sectors and fields, except for the automobile industry.
In 27 fields and sectors under the review process, there are fields and sectors are not under review for removal including: business of industrial explosive materials; rice export (this field has been simplified to remove scale requirement on each conditions); natural resources extraction, goods purchase of Foreign direct investment enterprises; oil extraction; energy accounting, technical safety check for equipment, manufacturing and production for military, and others.
According to Minister Tran Tuan Anh, business conditions removal and support enterprises are the focus of the reform of administrative procedures, improving business environment toward socio-economic development. In addition to administrative reform, removing and simplifying business conditions, Ministry of Industry & Trade will implement Decree No. 19/NQ-CP of the government to create maximum convenience for enterprises.
Besides, price for goods in the global market is increasing, including the input price, as well as the processed goods. As such, with the increase amount of export has lead to proportional increase of value.
Moreover, it worth mentioning the effort from the government in administrative reforms and removing difficulties for enterprises, which are in forms of discarding barriers and simplifying administrative procedures. Though the current situation is showing that it is a long term effort, but with the preliminary result, Vietnam has partially success and received positive responses from the business community. Besides, Vietnamese goods and products such as textile & garment, shoes, smart phones, computers are increasing as a result of increasing demands for these products in the global market.
In order for export to grow sustainably, at present, Vietnam export focuses on growing in quantity, which has a certain limit to grow. However, this cannot be a long term solution, as grow in quantity will not lead to sustainable development. In long term, Vietnam need to focus on stabilizing production and increasing added value. Besides, export activities should go in the direction of increasing in quality and the objective of socio-economic development in poor areas, as well as raising the living standard of citizens.
Currently, goods for export from Vietnam almost have low added value in the value chain. Therefore, enterprises should expand and move to other production phase with higher added value. It is also necessary to focus on developing brands, so that the products will get attention from customers through its own brands.
To support enterprises developing its markets and adopting to barriers from import market, the Ministry of Industry & Trade is pushing forward with administrative reform in overall administrative procedures in general, and in export in particular. Evidently, On September 20, Minister of Industry & Trade Tran Tuan Anh signed the Decision No. 2610a/QD-BCT on removing and simplifying business and investment conditions under the state management responsibility of Ministry of Industry & Trade for the period 2017 – 2018. Besides, agencies also proposed to reduce and simplify business conditions with an aim for the benefits of enterprises, citizens and sustainable development of the society. In which, the total business conditions have been reviewed are 1,216 for 27 sectors and fields, except for the automobile industry.
In 27 fields and sectors under the review process, there are fields and sectors are not under review for removal including: business of industrial explosive materials; rice export (this field has been simplified to remove scale requirement on each conditions); natural resources extraction, goods purchase of Foreign direct investment enterprises; oil extraction; energy accounting, technical safety check for equipment, manufacturing and production for military, and others.
According to Minister Tran Tuan Anh, business conditions removal and support enterprises are the focus of the reform of administrative procedures, improving business environment toward socio-economic development. In addition to administrative reform, removing and simplifying business conditions, Ministry of Industry & Trade will implement Decree No. 19/NQ-CP of the government to create maximum convenience for enterprises.
