Hanoi needs to have practical and specific solutions to boost its industrial production and exports, Deputy Minister of Industry and Trade Ho Thi Kim Thoa has said.
"Hanoi is one of the two leading areas in the country in terms of stabilising prices and taking Vietnamese goods to rural areas, but its industrial production and exports are falling. For this reason, practical and specific solutions are necessary to boost growth in these areas,” Thoa was quoted at a recent meeting with the Hanoi Department of Industry and Trade by the ministry's Vietnam Economic Times as saying.
The industry and trade sector in Hanoi maintained a stable growth rate in the first two months of this year, with the index of industrial production (IIP) growing by 2.8 percent, VND283 trillion (USD13.47 billion) worth of sales and service revenues, and 1.668 billion USD worth of export earnings.
Senior officials from the ministry’s departments said that despite efforts, the city’s industrial production and exports increased less than the country’s average growth.
Director of the municipal department Le Hong Thang said that the city’s industrial production will not grow rapidly given the current difficulties. Moreover, most major industrial production plants have been moved to other provinces. It is also difficult to attract foreign direct investment (FDI) in industrial production due to too high land lease prices and other expenses.
Thang asked the ministry to help the city build the Hanoi South Supporting Industry Park (HANSSIP) covering 640 hectares in Dai Xuyen commune, Phu Xuyen district, with a vision to expand to 2,000 hectares in the southern gateway.
It is expected to be the first large-scale urban and supporting industry park in Vietnam and an impetus for the capital’s industry and exports to grow robustly in the years to come.
Representatives from the ministry’s departments gave advice in terms of state administration of industry and trade.
Export Import Management Department Deputy Director Phan Thi Dieu Ha suggested Hanoi promote exports focusing on high-tech products such as electric and electronic appliances to match its high technology direction.
Deputy Minister Thoa said that the city needs to identify sound directions for industrial development and choose development areas.
She said that Vinh Phuc province for example has chosen to only develop high technology. She strongly recommended that Hanoi choose key industrial products and intensively invest in them in order to generate high efficiency.
As for handicrafts and craft villages, the city should widely develop the programme to combine craft villages with tourism. However, Thoa underlined the need to manage the quality of products made in craft villages, while at the same time encourage buyers and visitors to craft villages.
She spoke highly of the city’s trade promotion activities, including inviting more than 400 foreign importers to exhibitions and fairs in Hanoi, thus providing opportunities for Vietnamese businesses directly meet them.
She also recognised the city’s efforts to strengthen state management in 2013 by drawing up 30 legal documents, while emphasising the need to seriously implement them.
Hanoi’s industry and trade sector expected to increase industrial production by more than 8 percent, retail sales up by 20 percent, and export revenues up by 6-7 percent in 2014./.