Mr. Pham Xuan Hong - Chairman of the City Textile - Garment - Embroidery - Knitting Association. Ho Chi Minh said that business orders in the second quarter of 2024 will recover relatively smoothly, at a level of 10-15%. " Orders are still on a small scale, but the diverse product segments help manufacturing businesses "breathe more easily ", Mr. Hong said.

Mr. Tran Nhu Tung - Chairman of the Board of Directors of Thanh Cong Textile - Investment - Trading Joint Stock Company also said that the business has received nearly enough orders for the third quarter of 2024. It is expected that orders for the last quarter of 2024 will be even more abundant, because this is the time to enter the peak production season, meeting market demand during the holiday season and Tet.

Mr. Tung expects that in the second quarter of 2024, the company will record increased business results in both revenue and profit compared to the same period in 2023. In particular, in April 2024, the Company estimates revenue and Profit growth is about 15%.

The order situation has improved, businesses appreciate this signal and hope the positive trend will last until the end of the year. Currently, the business is accelerating production to meet orders.

With Dong Xuan Knitting Company Limited, FOB sewing orders for Japanese customers basically have enough orders until the end of the third quarter of 2024. However, like most businesses in the industry, the general level of unit prices has not improved much compared to 2023.

This year, some Dong Xuan customers such as Aeon, Itochu, Organ... have all increased their orders. In terms of product quality, partner Aeon highly appreciates Dong Xuan's products compared to FOB products to competitors in the region. As for Itochu, despite its slow growth, this is also a potential customer with specific products for the Japanese market.

Textile and garment orders increased by 10-15%. Photo: Can Dung

Although orders in the second quarter of 2024 will improve, according to Mr. Hong, it is still not really favorable, brands are still "hesitant" in deciding to place orders, and many importers are still monitoring the impact of changes. political fluctuations in the world market and the recovery of some large consuming countries.

Regarding the impact of conflict in the Red Sea area, leaders of the Ho Chi Minh City Textile - Garment - Embroidery - Knitting Association. Ho Chi Minh said that the level of impact on textile and garment businesses has "partially cooled down". The supply of raw materials and exports has "adapted" and gradually stabilized. The current concern is price competition, so businesses need to improve productivity and minimize costs to have the best prices.

Agreeing with the above statement, Mr. Nguyen Dang Loi - General Director of Dong Xuan Knitting Company Limited also said that the business still faces some internal difficulties when labor competition in the Hung Yen area is increasingly fierce. harshly. After the Lunar New Year in Giap Thin, the number of workers quitting is greater than the number of new recruits.

At the same time, although equipment has been invested deeply, there is still a lot of old equipment with small capacity... Enterprises are calculating to transfer, liquidate and continue to invest in new machinery for production. At the same time, drastically increase labor productivity to meet customer requirements.

Not as favorable as clothing, according to Mr. Dau Phi Quyet - Deputy General Director of Viet Thang Corporation - JSC, the woven fabric export market has relatively fierce competition. Many customers put on the scale to compare the prices of finished fabrics and rustic fabrics from Vietnam with suppliers from China, India and Bangladesh, forcing businesses to find solutions to find opportunities to supply fabrics. for the domestic market.

But with the pressure of cheaper prices from many suppliers, businesses are having to find solutions to reduce costs for finished fabric products to have the best price policy for domestic customers to build and expand. Add new customers in addition to long-standing customers.

The upswing in orders has helped textile and garment enterprises gradually overcome the depression and recover after an extremely difficult 2023. Entering 2024, the Ministry of Industry and Trade has had many activities to support the textile and garment business community to recover soon. In addition to trade promotion activities and expanding foreign markets, the Ministry of Industry and Trade also coordinates to organize large domestic fairs and exhibitions to attract investors in the textile and garment sector to Vietnam.

The international exhibition of textile industry and textile technology 2024 (VIATT 2024) is a typical example. According to the Ministry of Industry and Trade, the exhibition has created favorable conditions for businesses in the textile and garment sector in Vietnam to participate in the conference. Connecting trade with international businesses, participating in the production chain of global textile and garment companies, forming links throughout the value chain from raw material and auxiliary material production to final products. At the same time, we encourage major brands in the world to transfer technology, management experience and participate in the process of developing raw materials and auxiliary materials to form a domestic supply chain.

“ The exhibition organized by the Ministry of Industry and Trade right when the market is warming up, has been effective in "pulling" many brands and investors to Vietnam. Helping domestic textile and garment enterprises sign orders and connect the supply of raw materials and accessories for production ," Mr. Hong added.