U.S. Eyes to Boost Direct Leather Sales to Vietnam

The U.S. Leather Industry Association organized a symposium for the first time in Ho Chi Minh City on April 9 with an aim to boost direct material leather sales to Vietnam, state media reported.

 

The U.S. is a large material leather exporter in the world but Vietnamese enterprises are still importing the U.S commodity via third countries, said Ho Chi Minh City Leather and Footwear Association.  

 

Vietnam’s material leather imports from the U.S. surged 300 per cent-400 per cent to US$57.8 million in 2007 from US$11.6 million in 2005. This is the key reason that the U.S. Leather Industry Association wants to directly sell leather material to Vietnam.   

 

Of nearly US$1 billion worth of leather materials, finished leather Vietnam imported in 2007, it imported less than 10 per cent directly from America. Currently, Vietnam buys up to 80 per cent of material leather from foreign countries, mainly from South Korea, Brazil and China.

 

Speaking at the symposium, Joha Wade, Agricultural Counselor of the U.S Embassy in Vietnam, said the local leather and shoe industry is growing in terms of skill so American businesses want to invest in this market.

 

Foreign investors said the leather and footwear is among strong-growing industries after Vietnam’s WTO membership. In a short period of time, up to 30 per cent of Vietnamese leather was exported to the world’s biggest market of America.

 

Leather and footwear is now Vietnam’s third largest forex earner behind crude oil and apparel. In the first quarter this year, the industry is estimated to rake in US$1.039 billion from exports, an on-year rise of 16.1 per cent. It expects to fetch US$4.5 billion this year, an increase of 15.4 per cent against last year. (Saigon Liberation Online, News)