Vietnam exports more garments in first 7 months

Vietnam is estimated to export over 2.5 billion US dollars worth of textiles and garments in the first seven months of this year, posting a year-on-year rise of 0.2 percent, according to the Vietnam Textile and Apparel Association on Tuesday.

Vietnam is seeing slow growth in garment and textile export to major markets, due to mainly its products'weak competitiveness compared with that of China, India, Pakistan and Sri Lanka in the European Union (EU), and quota restrictions in the United States.

In the first half of this year, Vietnam's textile and garment export to the EU and the United States rose 3.6 percent and 0.4 percent to 348 million dollars and 1.1 billion dollars, respectively, the association said.

To boost the export, the Vietnamese government has decided to place value-added tax of zero on locally-made cloth used to produce items for export, instead of the rate of 10 percent, to assist garment exporters. It has also urged local garment producers to more actively build and promote trademarks both at home and abroad, have specific items for specific traditional markets, and explore new markets in Africa and East Europe.

Last year, Vietnam earned over 4.3 billion dollars from exporting garments and textiles to over 100 countries and regions, posting a year-on-year rise of 17.2 percent.

By late 2003, the country had 1,050 garment and textile enterprises with a total workforce of more than 2 million. By that time, the country's garment and textile industry has attracted nearly 400 foreign-invested projects with a total registered capital of roughly 1 billion dollars, according to the association.

Source: Xinhua