Manufacturing leads industrial production’s recovery
In the January-October period, industrial processing
and manufacturing contributed 4.9 percent to the increase, while
electricity production and distribution contributed 0.6 percent, and
water supply, waste and liquid treatment, 0.1 percent.
The
recovery was also seen in the employment index at industrial companies,
recording a 4.4 percent year-on-year rise as of October 1.
A
rise in the import of materials and machinery for production in the ten
months further testified to the recovery of domestic production.
In
addition, the inventory index of the manufacturing and processing
industry as a whole increased by only 9.7 percent from the same
period last year as of October 1. Of which, some sectors even saw
remarkable declines: the inventory index of electronic accessories
fell 74.9 percent; motor vehicle production, 48 percent; and cement,
nearly 44 percent.
According to economist Vu Dinh Anh, the
below-10 percent inventory index at this time is an optimistic sign for
the economy in comparison to that from last year.
The Ministry of
Industry and Trade forecast that the inventory will decline in the
remaining months of this year because demand usually goes up in this
period and businesses ship goods to fulfil their orders, particularly
the apparel and footwear sectors.
At the ministry’s recent video
conference, Deputy Minister Ho Thi Kim Thoa said that to meet the 2013
target, the ministry’s departments and agencies should focus on tapping
the domestic market’s demands, while strengthening goods distribution
systems nationwide.
Apart from maintaining traditional
export markets and developing new markets, businesses need to propose
detailed solutions to ease difficulties in production.
Boosting
industrial production is considered as a key factor to develop the
national economy as pointed out in the 2011-2020 Socio-economic
Development Strategy, 2011-2015 Socio-economic Plan and Socio-economic
Planning for 2013.
To create a breakthrough in industrial
production, it is necessary to invest in key industrial centres as well
as key industrial products. This may be the best solution to boost the
country’s economy in the final months of this year and create momentum
for the first quarter of next year.-VNA