Vietnam’s economic situation for the 8 months of 2006

1. Output of agriculture, forestry and fishery

Agriculture:

Winter rice crop: As of 15^th August 2006, the country cultivated 1478.4 thousand ha of winter rice crop, equaling 100.4% of last year’s same period. Of which, 1188.8 thousand ha were planted in provinces in the North, equaling 99.4%; provinces in the South sowed 289.6 thousand ha, equaling 105 % of last year’s same period.

Summer-autumn rice crop: As of mid August 2006, the country cultivated 2245.3 thousand ha of summer-autumn rice crop, equaling 100.5% of last year’s same period. 2087.7 thousand ha were sown in Southern provinces, equaling 99.9% of last year’s same period, of which 1844.7 thousand ha were in provinces in the Mekong River Delta, equaling 98.8%. Provinces in the South harvested 1160.6 thousand ha of summer-autumn rice crop, equaling 108.1% over last year’s same period and accounting for 55.6% of sowing area, of which provinces in the Mekong River Delta harvested 1103 thousand ha, equaling 110.9% and accounting for 59.8%. According to estimated report of provinces in the Mekong River Delta, productivity of the harvested areas decreased by 100-300 kg/ha over last year’s same period, mainly due to the effect of pestilent insects spreading widely.

Other crops: Up to now, in the whole country there were 884.6 thousand ha of maize under cultivation, equaling 100.2% of last year’ same period, cassava: 377.4 thousand ha and 107.4%; soy-bean: 171.9 thousand ha and 94.3%; peanut: 221.8 thousand ha and 95.7%; beans and vegetables: 631 thousand ha and 102.1%.

Forestry

Generally for 8 months, the area of concentrated forestation in the country was estimated at 132.2 thousand ha, rising by 0.9% over same period last year, the number of dispersed plants at 156 million, rising by 0.5%; wood cut production was 2056.1 thousand m³, rising by 0.3%; the area of destroyed forestation was 1047.5 ha, of which Kon Tum: 270.2 ha, Lam Dong: 293.4 ha.

Fishery

For 8 months 2006, production of fishery was estimated at 2368.5 thousand tons, increasing by 8.3 % as compared with last year’ same period, of which farmed products were 956.7 thousand tons, increasing by 19.4%, caught products: 1411.8 thousand tons, increasing by 1.9%

2. Industrial output

The industrial production value for 8 months 2006 increased by 16.7% against same period last year, of which state sector rose by 9.6% (central by 12.4%, local by 1.7%); none-state sector by 21.8%; FDI sector by 19.1% (petroleum decreased by 4%, others rose by 24.4%).

Some important products for the economy and exportation maintained high increased rates, contributed main part to industrial growth of 8 months: pure coal rose by 20.7%; fabrics by 14.6%; ready-made clothes by 19.6%; medicament in tube of all kinds by 20.2%; insecticide by 17.5% and cement by 12.2%… As the prices of some main input materials like petroleum increased highly and varied complicatedly and difficulties in consumer markets, especially export markets of textiles, footgear, arts and handicrafts… some industrial items increased slowly or did not achieve last year’s production: natural gas rose by 2.4%; knitting clothes by 7.4%; paper and paper board of all kinds by 11.7%; tiles by 6.4%;…

3. Investment

Capital construction investment under the concentrated State budget in 8 months in 2006 was estimated at 39.8 trillion VND, accounting for 70.9% of the year plan. Central investment gained 12.4 trillion VND, accounting for 71.2% of the year plan, of which the Ministry of Transportation gained 4.3 trillion VND, equaling 64%; the Ministry of Agriculture and Rural Development: 1436 billion VND, equaling 72%; the Ministry of Health: 510.7 billion VND, equaling 56.9%; Ministry of Education and Training: 487.6 billion VND, equaling 55.1% of the year plan…Only Ministry of Construction exceeded the year plan (equaling 117.9%, due to the progressive implementation of National Conference Centre to hold APEC conference in November 2006). Local investment was estimated achieving 27.4 trillion VND, equaling 70.7% of the year plan, of which some localities had higher rates than the year plan: Quang Ninh: 88.1%; Ninh Binh and Kien Giang: 84.1%; Quang Ngai: 83.7%; Bac Ninh and Thua Thien – Hue: 79.3%… Only Ho Chi Minh city in 8 months gained 4.3 trillion VND but accounting for 53.7% of the year plan; Ha Noi: 2.9 trillion VND, equaling 62.7%.

Foreign direct investment: from 1^st January to 20 August 2006, there have been 426 granted license projects with a total capital registered 2.96 billion USD, on average a project new licensed achieved 6.96 million USD. For 8 months, 222 projects were funded with more capital of 1095 million USD that made the total capital in 8 months rise up to 4.1 billion USD.

Ho Chi Minh City was in the first rank in the country with 133 projects and 1057.5 million USD, accounting for 31.2% of the total licensed projects and 35.7% of total capital registered; Ha Noi had 71 projects and 518.5 million USD, accounting for 16.7% of projects and 17.5% of capital registered, the number of projects in Ba Ria – Vung Tau only accounted for 1.9% but the capital registered was 11.8% (8 projects and 349.5 million USD).

4. Trade, prices and services

Total retail sales of consumer goods and services for the 8 months of 2006 were estimated at VND 364 trillion, increasing by 20.2% against same period last year, of which the state sector accounting for 12.3%, increasing by 8.1%; the non-state sector accounting for 85.1% and rising by 23.8%; the FDI sector: 2.6% and 23% respectively.

Consumer prices in August 2006 raised 0.4% against last month, equaling to the rate of July and this was the third month that the consumer prices continued to increase by 0.4%, of which the prices in August of 3 large weight groups had the following rates: housing and construction materials (+1.1%); means of transport and communication (+0.9%); food and eating services  (+0.2%). Prices for most of the rest groups rose popularly from 0.2% to 0.5%.

As compared with December 2005, consumer prices in August 2006 increased by 4.8% and prices for 10 groups of goods and services both increased, of which prices for food and eating services had the highest rate (+5.6%); housing and construction materials rose by 5.2%; means of transport and communication were 4.5%; others rose popularly over 3%.

As compared with August 2005, consumer prices in August 2006 increased by 7.5%, of which prices for food and eating services increased highly 8.4%; housing and construction materials rose by 9.6%; means of transport and communication by 7.9% (price for telecommunication decreased, equaling 97.4% of the price in August 2005). With the density of nearly 62% of the total expenditures for good and services, these 3 groups contributed mainly to the increasing prices in August over same period last year.

Total trade turnovers for the 8 months were estimated at 54.7 billion USD, increasing by 22.7%, of which export gained 26 billion USD, rising by 24.3%; import gained 28.7 billion USD, increasing by 17.4%. The import growth rate was lower than the export growth rate but the gap was narrowed considerably, only 7 points percents (for 4 months, the increase of import was 18 points percents lower than the increase of export). The trade deficit took account for 10.5% of export turnovers and gained 2.7 billion USD in 8 months.

International visitors to Viet Nam for the 8 months 2006 were estimated at 2.4 million arrivals, increasing by 4.8% over last year’ same period, of which arrivals for tourism increased by 1.9%; for business by 19.6%; for visiting relatives by 11.8% but for other purposes decreased by 6.1%. Arrivals by airway were estimated achieving 1.74 million (accounting for 72.5%), increasing by 15.9%; by seaway: 158.5 thousand, rising by 13%; by land way: 503.7 thousand, decreasing by 22.6% (mainly due to arrivals from China reduced).

Communication: To the end of August the whole country had 21.4 million subscribers, of which the Post & Telecommunication Corporation had 16 million subscribers (7.31 million table telephones, city phones and 8.69 million cell phones subscribers) accounting for 74.8% of the total subscribers.

New internet subscribers continuously increased, the number of subscribers for 8 months was estimated at 867.1 thousand, bringing total internet subscribers to 3.77 million, of which the Post & Telecommunication Corporation gained 1.61 million subscribers.

Total turnovers of the Communication in 8 months were estimated at 23.3 trillion VND, only the Post & Telecommunication Corporation achieved 21.86 trillion VND (income from post was 885 billion VND, telecommunication: 20 trillion VND, from  others 992.5 billion VND).

Tags: Vietnam economic 2006, Vietnam economic statistics, Vietnam's economy situation