Exports prosper, creating a boon for Ho Chi Minh City's economy

Regain growth momentum

After a sharp decline in 2021, Ho Chi Minh City's economy regained its growth momentum in the first months of 2022. At the recent Economic Development Conference, Secretary of the Ho Chi Minh City Party Committee Nguyen Van Nen said that the economy - Ho Chi Minh City's society is recovering strongly after a year of severe crisis caused by the Covid-19 epidemic. In the first quarter of 2022, Ho Chi Minh City's economy is regaining its growth momentum with a rate of +1.88%, compared to -11.6% in the fourth quarter of 2021 and continues to contribute to one third of the national budget. .

According to Mr. Nguyen Khac Hoang, Director of the Ho Chi Minh City Statistics Office, activities in Ho Chi Minh City are almost completely open, production and business activities are not affected much, the socio-economic situation of Ho Chi Minh City in the first 3 months of 2022 has been reduced. there are signs of recovery and improvement; Despite difficulties, the business has operated stably and improved. According to the survey results of the People's Committee of Ho Chi Minh City on business trends of enterprises in the processing and manufacturing industries, 31% of business activities in the first quarter of 2022 compared to the fourth quarter of 2021. businesses evaluate the situation of production and business better; 34.6% kept steady and 34.4% more difficult. In which, the state-owned enterprise sector is the most optimistic with 80% of enterprises saying that it will get better and keep it stable; this rate in foreign-invested and non-state-owned enterprises is 74.1% and 60.2%, respectively.

Forecasting the situation of the second quarter compared to the first quarter, 45.9% of enterprises rated better, 32.6% kept stable and 21.5% faced more difficulties. In which, 91.4% of state-owned enterprises have a positive view of their business situation in the second quarter, this rate in the foreign and non-state invested sectors is 79.1% and 76, respectively. 8% respectively.

Impressive export

According to Mr. Nguyen Khac Hoang, in the first months of 2022, Ho Chi Minh City's economy recorded many positive signs of recovery, in which, the export of goods grew impressively in many markets. In the first quarter alone, the total export turnover of goods of Ho Chi Minh City enterprises at border gates across the country reached 11,878.6 million USD, up 3.5% over the same period. In which, the state economic sector increased impressively, reaching 564.4 million USD, up 107.9%; non-state economic sector reached 3,228.7 million USD, up 16.1%.

The group of agricultural products with export value increased quite high, reaching more than 1.1 billion USD, up 54% over the same period and accounting for 11.7% of total export turnover. Most of the key export products had a high increase, such as: Rice with an export output of 365 thousand tons with a value of USD 268.7 million, up 39.8%; coffee export volume reached 80 thousand tons with a value of 175.2 million USD, up 64.8%. Particularly, for crude oil, export volume in the first quarter reached 663.8 thousand tons, up 90.8%; value reached 451.2 million USD, up 200.9%.

Statistics of Ho Chi Minh City Customs Department show that many goods exported through HCMC ports also increased very high. Accordingly, the total import and export turnover of goods through Ho Chi Minh City border gates as of March 31, reached 35.3 billion USD, up 14.9%. In which, export turnover reached 19.4 USD, up 8.4% over the same period in 2021. Many key export products grew very well. For example, aquatic products increased by 90.4%; textiles and garments increased by 54.7%; computers, equipment and accessories reached USD 4.73 billion, up 15.1% over the same period in 2021. This result has the great participation of enterprises in Ho Chi Minh City.

Notably, Ho Chi Minh City's export enterprises grew in many major markets. In particular, the Chinese market, despite facing many difficulties in terms of the country's anti-epidemic policies, still managed to maintain the number one position in export, with export turnover in the first quarter reaching 2,523 ,3 million USD. Followed by the US market with an export turnover of nearly 1,700 million USD, up 5%; the third is the Japanese market with 701.8 million USD, up 8.7%...

According to the leader of the People's Committee of Ho Chi Minh City, it is expected that after Ho Chi Minh City fully opens; get the pandemic under control; curb the increase in consumer prices and raw materials prices; the strong return of foreign direct investment inflows into the market; With the hope that the Russia-Ukraine conflict will end soon, the economic growth of Ho Chi Minh City this year will reach the set target.

According to the export project just approved by Ho Chi Minh City, it is forecasted that by 2025, Ho Chi Minh City's export turnover is estimated at 70 billion USD and the average export growth rate in the period 2026 - 2030 will reach 9% per year, by 2030 export turnover is estimated at 108 billion USD. In which, the group of software products and digital content, it is estimated that the export turnover by 2025 will reach 10.1 billion USD and in 2030 may reach 20.3 billion USD.

Ho Chi Minh City has set a task to 2025, maintaining and supporting the development of traditional key products with high export turnover and growth, creating many jobs and making a large budget contribution to the city. then, preparing conditions for industrial upgrading, joining the global value chain, and aiming to export services is the leading strategy to increase added value in line with the city's competitive advantage.