HANOI: The world and domestic economic situation in 2024 will continue to have difficulties and challenges, according to experts and in this context, Vietnamese businesses need to proactively implement solutions to promote production and sales.
Experts have pointed out that some export industries have good signals because they have exhausted foreign inventories.
However, some other industries are still facing difficulties due to consumers tightening their spending.
Some foreign importers have moved to other markets that are better than Vietnam.
Deputy director of the import-export department of the Industry and Trade Ministry Tran Thanh Hai recommended that local businesses consider and adjust their business strategies by returning to the domestic market and waiting for a big boost in purchasing power.
On exports, currently 70% of businesses have changed their strategies and have had many orders.
For example, the fruit and vegetable industry has set an export record because of the new strategies.
In 2024, Vietnam will have many sources of plastic raw materials due to many foreign direct investment (FDI) enterprises invested in this field.
Therefore, Vietnamese businesses can take advantage of this source of raw materials to reinvest in production instead of importing raw materials.
In addition, there are still some industries that are lagging behind, such as seafood and electronics, which still depend on FDI.
Director of the centre for World Trade Organisation and integration Nguyen Thi Thu Trang suggested that Vietnamese associations and enterprises focus on engagement programmes to orient businesses towards sustainable development.
In particular, it is necessary to invest in smart factories and improve domestic products’ quality to be on par with exports.
At the same time, there should be communication about trade promotion programmes for businesses covering all provinces and cities nationwide.
“Regarding the outlook for 2024, I predict that the domestic macro economy will maintain stable growth, inflation will be controlled, and promoting public investment will be the premise for the stable development of industries.
“In 2024, the government will still focus on prioritising development in main areas including production, exports and domestic consumer services.
“In particular, agriculture is still used as support to promote sustainable processing,” said economic expert Nguyen Tri Hieu.
Most businesses have been making efforts to prepare production and sales plans for Tet or Lunar New Year goods.
Chairwoman of HCM City Food Association Ly Kim Chi said: “Vietnam has signed cooperation agreements with many regions through free trade agreements (FTAs).
“Enterprises in the food industry are gradually taking advantage and promoting export turnover to increasingly prosperous markets and regions.”
This showed that new-generation FTAs have been opening a large market for Vietnamese businesses.
“Vietnam’s key products are facing competition from countries like India and Thailand.
“This requires businesses to innovate, change technology, digitally transform, trace product origins, improve labour productivity, increase product value and maintain the domestic market,” stressed Chi.
The Vietnam Textile and Apparel Association (Vitas) has set a target of textile export turnover in 2024 to reach US$44bil, an increase of 9.2% compared with 2023.
Currently, many businesses have enough orders for the first quarter of this year and the situation will likely improve in the second when the US Federal Reserve cuts interest rates to support businesses to recover.
Vice-president of Vitas Tran Nhu Tung said: “Vitas has suggested that the state deploy a package of 120 trillion dong with preferential interest rates for the construction of social housing and worker housing as well as continue to support businesses with funding to train and improve vocational skills for workers.” — Viet Nam News/ANN
