Nghe An strives to achieve export turnover of 2.87 billion USD

On the afternoon of February 24, the Provincial People's Committee held a conference to deploy the export plan for 2023. Comrades: Le Hong Vinh - Member of the Provincial Party Standing Committee, Permanent Vice Chairman of the Provincial People's Committee; Pham Van Hoa - Director of the Department of Industry and Trade chaired the conference. Also attending were representatives of relevant departments and branches, along with a large number of import-export enterprises in the province.

Overview of the conference. Photo: Thu Huyen

Nghe An's export turnover ranked 28th out of 63 provinces and cities.

The Department of Industry and Trade's report shows that total export turnover in 2022 reached 2.54 billion USD, up 4.56% over the previous year, exceeding the annual plan by 8.03%, of which, export turnover of goods reached 2.19 billion USD, up 3.6% and exceeding the plan by 9.44%. Ranked 28th out of 63 provinces and cities nationwide and 2nd in the North Central region.

Many items have export turnover growing well compared to 2021, such as textiles, phone components, wood chips, superfine white limestone powder, paving stones, wood pellets, etc.

Notably, the proportion of processed export goods continues to increase, especially forestry products, minerals, construction materials, processed seafood and some processed agricultural products such as dried tea and fruit juice.

Nghe An's export turnover in 2022. Graphics: Huu Quan

In 2022, Nghe An enterprises exported goods to over 133 countries and territories around the world. Export turnover to some markets increased sharply compared to 2021, typically: China, South Korea, the United States, Taiwan, Laos 54.1 million USD, up 42.9%; India 43.4 million USD, up 43%; Singapore 39 million USD, up 34.6%.

There are over 360 enterprises (including 200 domestic enterprises and 160 foreign enterprises) participating in exporting goods of Nghe An province.

Revenue from import and export activities is estimated at 1,350 billion VND, an increase of 3.8% compared to the estimate submitted to the Provincial People's Council for adjustment and equal to 81.7% compared to the implementation in 2021.

Produced at Trong Phuc Garment Company Limited in Dien Chau district. Photo: Thu Huyen

Removing difficulties, boosting exports

Although exports in 2022 have grown, they are not really stable and the efficiency is not high. The value-added content in goods is still low; Although export products are diverse, their scale is still small and they still depend on goods from other provinces. Most import and export enterprises in the province are small and medium-sized enterprises with small production and business scale and weak financial capacity; most enterprises do not have a long-term export business strategy and have low competitiveness...

Business representatives reflected that most production costs have increased but selling prices are difficult to increase due to market competition with domestic and foreign companies in the same industry; especially, domestic businesses are competing fiercely, causing market imbalance and increasingly low profits. High costs of electricity, water, and fuel, along with the pressure of immediate payment, make it difficult for stone powder businesses in the mining and processing stages...

Mr. Pham Van Tam - Director of Tan Long Joint Stock Company proposed that applying a 285% increase in electricity price during the time frame from 9:00 to 11:30 and paying electricity bill 3 times a month is unreasonable. Photo: Thu Huyen

Enterprises continue to face many difficulties in exporting goods, typically: High freight rates, energy prices and raw materials prices are constantly increasing due to the impact of the Russia - Ukraine conflict; Many export enterprises face difficulties, even having to stop operations due to the impact of inflation and low exchange rates of importing countries' currencies (Korea, Japan, European countries, Laos, ...). In particular, the traditional export market of Nghe An enterprises, Laos, faces many difficulties due to the continuous devaluation of the Kip; Many small and medium enterprises report that they have not been able to access loans with preferential interest rates.

The international container ship BIENDONG MARINER arrived at Cua Lo Port to Port Klang (Malaysia) - Kolkata (India) - Chittagong (Bangladesh) on the morning of September 22, 2022. Photo: Thu Huyen

Speaking at the conference, Standing Vice Chairman of the Provincial People's Committee Le Hong Vinh emphasized that 2023 is the mid-term year, which is of important significance in promoting the implementation and striving to complete the goals of the 5-year socio-economic development plan (2021-2025) and the Resolution of the 19th Provincial Party Congress.

To achieve the target in 2023, the province's export turnover will reach 2.87 billion USD, of which goods export will reach 2.5 billion USD, it is necessary to base on the orientation of developing the export and import markets of the whole country until 2030 and the orientation of market development in the province's Export Development Project for the period 2021-2025.

Comrade Le Hong Vinh said that Nghe An currently has 299 OCOP products, which are a source of goods for businesses to promote exports and create jobs for workers. Currently, the province is carrying out many activities to promote infrastructure investment, attract investment, and facilitate import and export activities.

At the same time, it is recommended that departments, branches, localities and related enterprises continue to synchronously implement solutions to develop export goods sources; Review the planning of raw material areas and agricultural processing production areas for key products of the province. Actively promote investment to call for domestic and foreign investors in Nghe An, in which, focus on FDI enterprises in the production of high value-added, environmentally friendly products.

Standing Vice Chairman of the Provincial People's Committee Le Hong Vinh awarded Certificates of Merit of the Provincial People's Committee to 10 collectives with outstanding achievements in export work in 2022. Photo: Thu Huyen

Strengthen support for enterprises to innovate production technology, increase deep processing content and improve product competitiveness, especially agricultural products of the province. Regularly pay attention to export promotion activities; Improve and enhance the competitiveness of logistics services;...

Regarding the recommendations of enterprises, the Standing Vice Chairman of the Provincial People's Committee said that he would review and strictly handle actions that cause difficulties and harassment to enterprises. Issues of raw material prices, electricity prices, exchange rates, customs procedures, promotion support programs, etc. will be assigned to relevant departments and branches to handle and respond, in the spirit of accompanying and removing difficulties for enterprises.

On this occasion, the Chairman of the Provincial People's Committee awarded Certificates of Merit to 10 collectives with outstanding achievements in export work in 2022.