Garment sector sets ambitious export target for 2011

05 Jan '11

2 min read

The garment and textile industry of Vietnam has fixed its export revenue target for the current year at an ambitious level of US $13 billion.

The sector's exports registering a year-on-year rise of 23.2 percent grew to touch $1.15 billion in December 2010, while the industry's overall export turnover for the period came to $11.17 billion, the General Statistics Office data revealed.

As stated by the industry experts, the sector in order to achieve the current year's target would mainly be concentrating on retaining the present customers while directing the exporters to explore new markets and look for new customers.

Meanwhile, the sector even tried to boost its market share in the conventional and emerging markets and intends to hike its concentration ratio on local markets to around 55 to 60 percent, this year. At present, Vietnam is the fifth largest exporter of garment and textiles, throughout the world.

Experts opined that, cotton cultivation has remained a cause of concern for the domestic garment and textile industry, as Vietnam being a densely populated country does not have much free land for cultivation and also lacks a broad policy to help boost cultivation of more industrial crops for the industrial sector.

As the country does not have sufficient cotton cultivation farms so the firms are presently associating with the provinces to motivate the farmers to swap cotton cultivation with other crops.

Further, while the garment and textile sector of the country has been growing robustly at a rate of around 20-25 percent and the growth rate for cotton cultivation remained too low due to inferior quality of soil and small size of cotton farms.

Thus, with all these factors playing a part it seems difficult to develop cotton cultivation to fulfil the demands of garment and textile sector, the experts said.

Fibre2fashion News Desk - India

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