Vietnam’s ministry of industry and trade is making legal amendments to help cut costs and reduce administrative burdens of domestic garment manufacturers, who are under pressure due to falling global demand in the first eight months of 2017, rising wages and logistics costs and fierce competition from regional rivals like Bangladesh, Myanmar and Cambodia.
Though exports increased by 9.9 per cent between January to July this year to $19.8 billion, the ministry is concerned the export target may not be achieved due to lack of big orders for the remaining months, according to a recent news agency report.
The ministry has asked domestic producers to join foreign supermarket chains in Vietnam and attend overseas product promotion and business-matching events.
The sector aims to export about $30 billion worth of textiles and garments in 2017, says chairman of the Vietnam Textile and Apparel Association Vu Duc Giang. The United States is expected to be the biggest buyer, absorbing half of the exports. (DS)
Fibre2Fashion News Desk – India