Despite being an agricultural country, Vietnam is dependent upon imports to process many products, including soybean products. Amid market volatility, with high raw material prices and supply chain disruptions, many businesses have begun to develop their own raw material areas.
Over-reliance on input material imports, small production value and outdated technology were among the major weaknesses of Vietnam's steel industry, said a recent report by the Ministry of Industry and Trade.
Some large electronics manufacturers in Vietnam are feeling the punch from the COVID-19 outbreak as material imports and finished product exports have been affected by tighter border control aimed at preventing the disease from spreading.
Vietnamese companies, many of whom are facing a shortage of feedstock and raw materials as a result of the new coronavirus (COVID-19) outbreak in China, have started looking at alternative sources.
Vietnam spent almost 11.4 billion USD to import materials for garment and textile production in the first half of the year, up 5.6 percent from the same period last year, according to the Vietnam Textile and Apparel Association (VITAS).
Domestic cashew processing enterprises have been facing difficulties due to a new regulation that requires additional checks on raw materials imported from African ports.
Vietnam splashed out 1.73 billion USD on livestock feed and material
imports in the first two quarters of the year, a year-on-year increase
of 7.8 percent, according to Ministry of Agriculture and Rural
Development.
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