Vietnam’s textile and garment industry increases opportunities when export tax drops sharply
On June 27, in Hanoi, the Cotton Yarn Association cooperated with ECV International Company to organize the 4th Vietnam Textile and Garment Forum 2018.
According to the Vietnam Textile and Apparel Association, Vietnam’s textile and garment industry had a breakthrough in 2017 with an export turnover of more than 31 billion USD, an increase of 10.23% compared to 2016. This rapid growth rate is expected to continue. continued to maintain in 2018 with export turnover estimated at 33.34 billion USD.
In addition to stabilizing traditional markets such as the United States, the European Union, Japan and South Korea, Vietnamese domestic enterprises have also developed emerging export markets such as China, Russia and the United States. Cambodia.
Mr. Tran Thanh Hai, Deputy Director of the Import-Export Department (Ministry of Industry and Trade), said that in the past time, although there is no TPP, new Free Trade Agreements (FTAs) that Vietnam has signed and is negotiating. will bring many benefits to Vietnam’s textile and garment industry. In the period 2018-2022, the export tax of some products will be reduced to 0%, creating new opportunities for increasing export value and promoting economic growth.
In addition, competitive labor costs and preferential policies in the country continue to help Vietnam become one of the ideal destinations for textile and garment investors in recent years. However, Vietnam still has to continue to improve to remain competitive with exporting countries such as Bangladesh, Sri Lanka, Myanmar and Cambodia.
According to Dr. Tran Du Lich, the textile and garment industry is an industry that has a huge spillover effect in the Vietnamese economy: “Textiles are a traditional industry and the planning orientation to 2030 will continue to be an industry with high growth rates. , in 5 years growth 13-14% and will increase 10 times in the next period. Thus, from 2030, the textile and garment industry will be an industry with high growth rates creating a boost for development, especially the service industry.
However, in order to do that, Mr. Lich said that the Government’s policies and the State’s support play an important role. The state plays the role of “midwife”, “maternity” is enterprises. If the “support” is good, the mother will round and the child will be square. Vietnam has a long-standing ineffective vocational training policy, and it is necessary to support vocational training so as not to violate WTO principles.
In addition, it is necessary to encourage the mobilization of stocks and bonds in the market to reduce intermediaries costs, since 80% is the capital of the enterprise. Especially encourage the association of small and medium enterprises when the Law for this object has just been promulgated to create value chains for businesses.
According to the Electronic Newspaper of Voice of Vietnam.
