Illustrative image (Source: VNA)Hanoi (VNA) – 2018 is looking rosy for Vietnam’s garment-textile industry,with exports forecasted to fetch 33.5- 34 billion USD, up 10 percentyear-on-year.
Chairman of Hung Yen Garment Company (HUGACO) said he believes the achievementsrecorded in 2017, thorough preparations of businesses, and the Government’splan on support industry development will support the industry to achieverobust growth.
According to the Vietnam Textile and Apparel Association (VTAA), at thebeginning of 2017, the sector overcome a range of challenges caused by thepending Comprehensive and Progressive Agreement for Trans-Pacific Partnership(CPTPP) and the decreasing global demand for apparels.
The industry reversed that trend from the second quarter of the year andultimately raked in an export turnover of 31 billion USD, representing a riseof 10.23 percent from 2016.
In the year, Vietnam’s garment-textile exports to major markets like the US, theEU, Japan, the Republic of Korea and Russia increased by 7.2 percent, 9.23percent, 6.1 percent, 11.8 percent and 56 percent, respectively.
The growth of the Vietnamese garment-textile sector is rated the highest ascompared with that of other garment-textile exporters like China, India,Bangladesh, Turkey and Indonesia.
Duong said garment firms are expected to get more orders in 2018 but sufferpressures caused by dropping garment prices in many markets.
Truong Van Cam, VTAA Vice Chairman, noted that the domestic garment enterprises will have compete with theirrivals from Myanmar, Cambodia and Bangladesh in terms of insurance, land, tax,transportation and customs procedure costs.
Le Tien Truong, General Director of the Vietnam Textile and Garment Group(Vinatex), suggested local garment-textile businesses focus on technologicalapplications, investment attraction and the building of connectivity chains ofthe VTTA.
Apart from pouring more investments into design, original design manufacturing(ODM) should be increased to 10 percent in order to raise added values ofproducts.
To achieve the two-digit growth target in 2018, VTAA suggested businesses adaptto market changes, expand the domestic market and diversify products, whileforming production chains.-VNA
VNA
