Confectionery companies are beefing up production and distribution to meet demand for the Tet (Lunar New Year) holiday, even though sales are expected to be somewhat lower this year because of tough economic conditions.
Tran Hong Thanh, general director of Hai Ha Confectionery Joint-Stock Company, told Tin Tuc (News) that the company has been preparing new products with attractive designs and quality.
In the last three months, the company has produced 6,000 tonnes of confectionery items for Tet.
Along with new products, the Huu Nghi Food Joint-Stock Company has improved its distribution system by expanding from rural to urban areas, according to Trinh Trung Hieu, the company's general director.
The company has already sent about 80 percent of its products for Tet to the market.
Luu Huynh, marketing director at Pham Nguyen Confectionery Corp, said the company began distributing Tet products to supermarkets and retail stores in late November, and has increased its output by 10 percent year-on-year, even though sales are expected to be sluggish.
This year, the company has paid more attention to design of products so that customers can use them as presents. These products could also be sold after the Tet holiday period.
Another goal is to reduce the amount of inventory after Tet, Huynh said, adding that the company has set up a special team to sell its products to retail shops.
Because many workers this year received smaller bonuses, traders believe the market will be more quiet than in previous years.
Thus, to avoid too much inventory after the holiday, they have not stocked a huge volume of confectioneries.
To lower their costs, the Vinamit Joint-Stock Company, for example, has stopped using adverts and limited its expenditures for packaging.
Also, the Hai Ha company three months ago began preparing materials in order to avoid price changes at Tet. To offer lower prices on products, the company has cut costs by increasing productivity./.VNA
