Textile-garment exports set to reach 43 billion USD this year: VITAS

Vietnamese textile-garment producers set to earn up to 21 billion USD from exports in the second half of 2022, raising total shipments of the year to around 42 – 43 billion USD, Chairman of the Vietnam Textile & Apparel Association (VITAS) Vu Duc Giang told a press conference on July 21.

Vietnam's textile-garment producers target to earn up to 21 billion USD from exports in the second half of 2022. (Photo: VNA)

Hanoi (VNA) – Vietnam's textile-garment producers target to earn up to 21 billion USD from exports in the second half of 2022,raising total shipments of the year to around 42 – 43 billion USD, Chairman ofthe Vietnam Textile & Apparel Association (VITAS) Vu Duc Giang told a pressconference on July 21.

The industry has seen a gradual recovery this year afterbeing adversely impacted by COVID-19 for two years, according to the VITAS. Itenjoyed trade surplus of 8.86 billion USD in the first half of the year.

Exports of textile and garment totalled some 22.3 billion USDfrom January-June, a 17.7% increase from the same period last year.

Garment export alone rose by 19.5% year-on-year to 16.94billion USD and that of fabrics reached 1.4 billion USD, up 20.8% year-on-year.

Vietnam imported 13.4 billion USD worth of trims andaccessories in H1, up 9.8% year-on-year.

VITAS Chairman Giang anticipated the industry is facing abumpy road ahead with various obstacles in the remaining months of 2022. Theimmense risk of COVID-19 resurgence caused by new variants is still present, hesaid, adding that strict virus control measures remain in place in many bigtrade partners of Vietnam like China, Japan and Taiwan (China), disruptingits input supply chain and sales.

There are also other threats, including record-highinflation at major importers, including the United States and Europe, and theRussia-Ukraine tension triggering a steep rise in prices of inputs, he added.

Illustration. (Photo: VNA)

Prices of cotton, crude oil and petrol soared 19.1%, 40% and67%, respectively, compared to the beginning of this year and transportationcost tripled the average rate of the last five years, driving total expendituresof Vietnamese exporters up as much as 20 – 25%, he explained.

He further noted that compared to their rivals, Vietnameseexporters are confronting disadvantages in currency exchange rates. They have alsobeen dealing with post-pandemic labour shortage and struggling to fulfil FTAcommitments on rule of origin and environment protection, Giang said.

To keep production going and sustainably develop the industry,producers must innovate technologies, promote green transformation and paygreater attention to training designers, according to Giang.

VITAS has been working to connect domestic and foreign firmsfor the formation of supply chains, expand markets, and enhance internationalcooperation in implementing projects in renewable energy, efficient water use,designing, branding and labour management, he said./.

VNA