PORTAL - By the end of the third quarter of 2020, the import and export market in the province continued to show signs of recovery. Trade with countries and territories in the world has begun to grow. Orders of businesses in the province also increased gradually.
Number of orders rise steadily
to provincial Association of Leather Footwear and Handbags, provincial
enterprises have negotiated many new contracts. Some companies got orders for
September and October and are in talks with some partners about larger orders.
In particular, from the EU market, it is expected that many contracts will be
signed in last months of the year. Currently, many enterprises are planning to
boost production again. Enterprises also expressed confidence in the
"launching pad" EU-Vietnam Free Trade Agreement (EVFTA) which will
help the footwear industry accelerate exports, grow turnover, offset the
decline from beginning of the year. It is forecasted that the export turnover
of footwear and handbags in the fourth quarter of 2020 would reach good growth
again, because this is the time of many large holidays and festivals associated
with consumption in European countries and the Americas.
months of finding opportunities in difficult time, timber industry in September
has prospered, the expected growth figure is two figures compared to August (in
August, export turnover reached 500.5 million USD, up 5.1% over the previous
month). Up to now, many wood enterprises in the area have taken many orders of
partners, overtime working has grown steadily. According to the analysis of
Binh Duong Wood Processing Association, the reason for the rapid recovery is
that Vietnam's timber industry was affected by the pandemic, but most
businesses in Binh Duong were not disrupted in production, no factories were
blocked because of infections.
addition, interior market of the U.S., Europe also began to dynamic, and
Vietnamese enterprises benefited from the U.S.-China trade war. However, one
problem now is that raw wood imported from some countries is being interrupted,
causing the supply of timber to fluctuate and leading to a local lack. In
return, domestic supply meets the demand, thus enterprises still strive to
receive all new orders of customers. Moreover, enterprises seek to capture
trends on the world market, and especially the US market, to organize
re-investment in production in the direction of specialization, forming chain
links, developing large orders, and taking advantage of domestic raw materials.
- garment industry has also gradually recovered. Trade in many countries has
been cleared, hence exports are more favorable. According to Tran Thi Van, Head
of Sales Department of DS Vina Company (Dat Cuoc Industrial Park), in March,
April and May, their production decreased by about 30% - 50%. However, from
August 2020, situation of import and export was better. Up to now, number of
orders has increased from 30-50%, the company got orders for until March 2021.
It is expected that the company's sales would increase 80% compared to 2019. DS
Vina imported 14 machines to run new orders and meet development requirements
of the international integration.
attain active workforce
advantage for enterprises to return to the normal production cycle is the
stable number of employees, due to efforts to retain and care for workers'
lives during the Covid-19. Ms. Van also said that, from March to the end of
July, DS Vina, despite difficulties, maintained five working days per week and
non-working days, on which workers were still paid according to the regional
minimum wage. Employees feel secure about working at the company at present,
when the number of orders is increasing, some departments have worked overtime.
In the opposite direction, DS Vina Company received great support from the
local authorities. “We are supported by the local government in disease
epidemic prevention and control. Binh Duong Tax authority has assisted us to
refund VAT quickly to solve financial difficulties during the epidemic, and Provincial
Industrial Parks' Management Board helped bring our 15 experts from Korea to
work here again”, said a representative of DS Vina Company.
confirm this once again, Wang Sheng Lung, Director of Long Hao Company (Dat
Cuoc Industrial Park), said that the company is still maintaining production,
workers have extra shifts. Due to the company's efforts to support employees,
since beginning of the third quarter, major products, such as furniture and
household appliances, have seen good growth, especially in the US market. The
company has no labor fluctuations. The company also received guidance of all
governmental levels on disease epidemic prevention and production assurance.