Actively Overcoming Difficulties and Supporting Businesses

The value of industrial production in the province reached VND3,876 billion in the first 6 months of this year, representing a year on year rise 6.7 per cent. To achieve this result, the industry and trade sector strived to enforce policies to curb inflation, support businesses to deal with difficulties, boost market support as stated in the Government’s Resolution 13/NQ-CP to maintain growth at a reasonable rate.

 

The Department of Industry and Trade also actively collaborated with concerned departments and authorities to advise and propose a number of measures and solutions to the Provincial People’s Committee to remove difficulties for enterprises like organising meetings for companies and banks, partially providing trade promotion funds for businesses, organising trade fairs and exhibitions to facilitate companies to introduce and popularise products, and strengthening inspection and control of commodity prices on the market to stabilise prices.

 

Director Nguyen Kim Phuong of the Department of Industry and Trade of Binh Dinh province, said the trade and industry sector has focused on supporting businesses to removing operating difficulties in order to ensure production and export stability and development, especially processing industry and exportation. The department closely coordinated with relevant branches and companies to implement the Government’s Resolution 13 effectively while seriously following up licensed projects to seek cooperation with other agencies to provide necessary supports for businesses to restore, stabilise and expand production. It also helped businesses to boost trade promotion activities and seek new trade partners and markets to expand sales and export.

 

Regarding capital difficulties, the department will propose that the Provincial People’s Committee recommend the State Bank of Vietnam (SBV) to create a favourable condition for businesses to access bank loans. Prestigious input importers will be granted priority of lending because they supply essentials for domestic production, especially export-driven production, and help reduce input costs and minimise unfriendly competition.

 

In the first six months of 2012, Binh Dinh earned US$258.8 million from exports, up 13 per cent compared with the same period in 2011. Specifically, agricultural products raked in US$54.7 million, up 12.2 per cent; aquatic products brought in US$23.8 million, up 36.6 per cents; minerals and building materials earned US$38.6 million, up 167.1 per cent; and industrial and processed consumer goods fetched US$26.1 million, up 107 per cent. The province’s exports reached 84 countries and territories in all five continents on the planet and secured a firm foothold.

 

However, the province's exports now have low value because of simple processing. Most export turnover comes from agricultural products, seafood and minerals while industrial products like garments, textiles and footwear make up a small part.

 

With this structure, the province's export is facing shrinkage because of contracting global production. Understanding this limitation, Binh Dinh province will focus on implementing solutions to improve the added value of exports. Specifically, the province will step up trade promotion activities and actively support companies to seek new markets and expand exports. Together with strengthening business support policies, the province will encourage enterprises to build and develop products of high competitiveness to penetrate deeper into global markets, apply advanced science and technology to enhance the added value of exports to approach closer to foreign consumers, and set up production facilities and equip modern processing facilities and technologies to create value-added, competitive products on the international market.