Business associations of all kinds in Vietnam are encouraged to focus more on the local market and at the same time expand their product lines to create exports of greater value.

Representatives of some 32 business associations from various provinces got together on July 16 in a forum on measures to accelerate Vietnam ’s export activities while maintaining sustainable GDP growth, especially once the economy has fully recovered from the global financial crisis.

Vietnam will be spared the worst of the impact of the world crisis, but the country still needs to address its own weakness in its growth model, said Associate Professor Doctor Tran Dinh Thien, Director of the Vietnam Economics Institute in a speech at the forum.

Thien pointed out that economic restructuring is needed as there is a paradox that locally-made goods have an easier time finding markets abroad than gaining a foothold in their own country.

Vietnam should reduce its dependence on the export of natural resources and low-cost labour and look to private enterprises as the main driving force for growth, he urged.

A ministry official confirmed that the Ministry of Trade and Industry will do its utmost to reduce the proportion of crude oil, minerals, raw materials and processed textiles and footwear exported rather than sold at home.

Vietnam is shifting its export model to focus more on products with higher added value and cater more to targeted markets, he added.

Trinh Minh Anh, Deputy Chief of the Office of the National Committee for International Economic Cooperation, meanwhile suggested local exporters “walk on both legs” – producing both high-quality goods for export and providing cheaper but good-quality products for local consumers.

The forum, entitled “Exports and developing Vietnam ’s market: Lessons from the world economic crisis,” was organised by the Ministry of Trade and Industry. It provided an opportunity for producers, policy-makers and economists to discuss ways to reach sustainable economic growth./.