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Submitted by ctv_en_2 on Thu, 02/01/2007 - 19:30
In 2007, the trade sector should make greater contributions to the common development of the whole country as well as the national economy. One of primary tasks for this year is to accelerate administrative reform and create a favourable investment environment for domestic enterprises and foreign partners to avoid waste of time and money, said Prime Minister Nguyen Tan Dung.

The 2007 National Trade Conference opened in Hanoi on February 1, drawing the participation of 500 representatives and leaders from the Ministry of Trade and directors of the trade departments from 64 provinces and cities.


Addressing the conference, PM Dung expressed appreciation for the trade sector’ great achievements in 2006 and Vietnam’s new position after 20 years of implementing the Doi Moi (renovation) process, as well as its entry to the World Trade Organisation (WTO).


The Government leader said in 2007, the trade sector should make greater contributions to the common development of the whole country as well as the national economy. One of primary tasks for this year is to accelerate administrative reform and create a favourable investment environment for domestic enterprises and foreign partners to avoid waste of time and money.


The competitive capacity of the whole country, the national economy as well as enterprises will greatly depend on institutions and mechanisms and the Ministry of Trade should deem it a practical task to promote the growth of the trade sector and the whole country, Mr Dung said.


The PM also emphasised the need to boost trade promotion activities and international integration, and make full use of support from international friends to expand markets as more and more countries are recognizing Vietnam as the market economy.


Apart from boosting exports, the Ministry of Trade should consider the supply-demand balance of domestic goods and ensure the distribution of consumer goods to people  by way of promoting domestic production and setting up distribution channels, while preventing speculation from driving up market prices and causing market instability.

The Government leader asked relevant ministries and provinces to pay more attention to perfecting organisation apparatus, creating a close-knit alliance between sectors, associations and enterprises and building a strong trade sector with a joint effort made by enterprises and people.


Export turnover continues to increase sharply

According to a report on trade activities in 2006 presented by Deputy Trade Minster Phan The Rue, Vietnam earned US$39.6 billion in export turnover, up 12 percent from a year earlier. Among the items recording high export turnover were seafood, rubber, pepper, coal, electronic products, plastics, electrical wires and cables. Nine products hit over US$1 billion, including crude oil (US$8.32 billion); garments and textiles (US$5.8 billion); footwear (US$3.55 billion); seafood (US$3.36 billion); wood products (US$1.9 billion), electronic and computer components (US$1.3 billion); rice (US$1.3 billion); rubber (US$1.27 billion) and coffee (US$1.1 billion). 



Last year, Vietnam’s import turnover reached more than US$44.4 billion, up 30.1 percent over the previous year and up 4.5 percent compared to the projected figure at the beginning of the year. Key export items include machines, equipment and materials serving production activities in the domestic market, excluding petrol, steel ingot and fertiliser.

 

The country’s import surplus was estimated at more than US$4.8 billion, including US$1.3 billion from wholly State-owned enterprises. Although import surplus value increased slightly compared to the projected figure announced in early 2006 (US$4.75 billion), import surplus proportion in export turnover was 12.1 percent, much lower than the 2005 figure of 15.6 percent.

 

Service exports in 2006 earned US$5.1 billion, up 19.6 percent from a year earlier. Some service sectors recorded high export growth include tourism (23.9 percent), air transport (35.5 percent), marine service (27.5 percent) and financial service (22.7 percent). Last year’s service import value was estimated at US$5.21 billion, rising by 14.3 percent over 2005. Import surplus value in 2006 stood at approximately US$22 million compared to the previous year’s figure of US$220 million.

 

On the domestic market, the total value of retail goods and revenue from construction services in 2006 was VND580.7 trillion, up 20.9 percent over 2005, of which, the State economic sector increased by 8.2 percent, the collective economic sector by 20.8 percent, the private economic sector by 25 percent and the foreign-invested economic sector by 21.5 percent.

 

The consumer price index (CPI) in December 2006 rose by 0.5 percent over that of the previous month, bringing the whole year’s CPI increase to 6.6 percent, much lower than the National Assembly’s set target (lower than the economic growth rate) to be considered lowest in the last three years.

 

Export turnover in 2007 likely to rise by more than 20 percent over 2006

In 2007, the Ministry of Trade aims to earn an export turnover of US$47.54 billion, up more than 20 percent against 2006. Accordingly, the ministry will continue to promote the export of key items, including agro-forestry and aquaculture products, fuel and minerals, industrial products and handicraft products. Total import turnover in 2007 is projected to reach more than US$52.2 billion, up 17.5 percent over 2006 with the total value of retail goods and revenue from social service likely to reach nearly VND700,000 billion, up more than 20 percent. The CPI will be lower than the growth rate to stand at 6.5-6.8 percent.

 

In addition, the Trade Ministry will focus on implementing the urgent tasks of boosting national economic development in the post-WTO period, completing institutions and promoting administrative reform in the field of trade.

 

On February 1, the ministry announced a list of 311 enterprises receiving the “prestigious exporter” title in 2006 and a list of 141 enterprises receiving the same title for three consecutive years. Prime Minister Nguyen Tan Dung presented the Cup and certificate of merits to the three-year winners.

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