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Vietnam: Textile sector upbeat about US$3.1 billion export target
The Hanoitimes – Vietnam’s fiber and yarn exports are forecast to reach this year’s US$3.1 billion target despite concerns that the application of anti-dumping tariffs in some export markets might cast a negative impact on the country’s export performance.
According to the Vietnam Textile and Apparel Association (Vitas), Vietnam earned $2.8 billion from fiber exports in the first ten months of this year, a year-on-year rise of 23 percent.
As the fiber sector is encountering anti-dumping tariffs in some major export markets like Turkey, India, and Brazil, this outcome proves encouraging.
As the fiber sector is encountering anti-dumping tariffs in some major export markets like Turkey, India, and Brazil, this outcome proves encouraging.
According to Vitas chairman Vu Duc Giang, after Turkey imposed anti-dumping tariffs on several types of export fiber, such as draw textured yarn (DTY) and synthetic fiber in 2016, local export firms have been successful in finding alternative markets, which was the factor behind the more than 20 per cent jump in the fiber sector’s ten-month export value.
Soi The Ky JSC (STK), a major player in the local fiber industry, is one of the businesses whose export operations were affected by Turkey’s tax imposition, as the company had exported DTY there.
Via effective market expansion activities, in the first nine months of this year the company reaped VND1.45 trillion ($66 million) in total export value, a big jump compared to the VND972 billion ($44 million) it posted in 2016’s similar period.
The company’s net revenue rose by VND206 billion ($9.3 million) in 2017’s third quarter alone, up 67 per cent on-year.
According to an STK source, the company’s soaring revenue came on the back of effective sales promotion activities, particularly successes in finding new markets and customers.
With such upbeat results, STK is confident in reaching the full-year revenue and after-tax profit targets of VND1.9 trillion ($87 million) and VND87 billion ($3.9 million) by the end of the year.
According to Giang, the quality of Vietnam’s cotton fiber is very good and meets the requirements of importers.
“Vietnam’s yarn industry is well positioned on the world’s fiber map and is able to compete well with major countries such as India, China, Turkey and some Middle East countries,” Giang said.
Besides the satisfactory export results, the Vietnamese yarn industry is now actively involved in the development of the yarn industry for the domestic textile and dyeing industry. Especially, Vietnamese knitted fiber products are hardly imported.
In addition, Vietnam has also been active in high-end cotton yarn products for high quality of textile. Besides domestic production, Vietnam’s yarn industry is also exporting very large volumes annually.
Soi The Ky JSC (STK), a major player in the local fiber industry, is one of the businesses whose export operations were affected by Turkey’s tax imposition, as the company had exported DTY there.
Via effective market expansion activities, in the first nine months of this year the company reaped VND1.45 trillion ($66 million) in total export value, a big jump compared to the VND972 billion ($44 million) it posted in 2016’s similar period.
The company’s net revenue rose by VND206 billion ($9.3 million) in 2017’s third quarter alone, up 67 per cent on-year.
According to an STK source, the company’s soaring revenue came on the back of effective sales promotion activities, particularly successes in finding new markets and customers.
With such upbeat results, STK is confident in reaching the full-year revenue and after-tax profit targets of VND1.9 trillion ($87 million) and VND87 billion ($3.9 million) by the end of the year.
According to Giang, the quality of Vietnam’s cotton fiber is very good and meets the requirements of importers.
“Vietnam’s yarn industry is well positioned on the world’s fiber map and is able to compete well with major countries such as India, China, Turkey and some Middle East countries,” Giang said.
Besides the satisfactory export results, the Vietnamese yarn industry is now actively involved in the development of the yarn industry for the domestic textile and dyeing industry. Especially, Vietnamese knitted fiber products are hardly imported.
In addition, Vietnam has also been active in high-end cotton yarn products for high quality of textile. Besides domestic production, Vietnam’s yarn industry is also exporting very large volumes annually.
Source: http://hanoitimes.com.vn/economy/2017/12/81E0BD82/textile-sector-upbeat-about-us-3-1-billion-export-target/