Vietnam’s economy in August and for 8 months of 2005

1. Output of agriculture, forestry and fishery

a. Agriculture:

As of 15 August 2005 the country cultivated 1,472 thousand ha of winter rice crop, equaling 96.6%% of last year’s same period: provinces in the North- 1,196.2 thousand ha,  equaling 98.6% of same period last year; Provinces in the South 275.8 thousand ha, equaling 88.7 % of last year’ same period.

As of middle August, 1,074.1 thousand ha of summer-spring crop were reaped in South provinces, equaling 93.7% of last year’ same period and accounting for 51.4 % of the cultivated area.

Other crops: The cultivation progress of other crops was generally faster than same period last year. As of middle August, in the whole country there were over 882.9 thousand ha of maize under cultivation, equaling 107.4% of last year’ same period, cassava- 351.5 thousand ha and 118.4%; peanut  231.8 thousand ha and 106.6%; Soya- 182.3 thousand ha and 116.3%; vegetables and beans 618.3 thousand ha and 99.1%.

b. Forestry

Many rains in the month gave a favorable condition to the forestation. Newly planted areas increased by 0.5% over same period last year, number of dispersed plants by 3%; only wood cut production fell by 0.2%.

Generally for 8 months, concentrated forestation areas were approximate to the level in last year; number of dispersed plants increased by 0.5% and wood cut production by 0.1%.

c. Fishery

Generally for 8 months, production of fishery was estimated at 2,146.5 thousand tons, increasing  by 6.6 % as compared with last year’ same period, of which farmed products were 784.8 thousand tons, increasing by 14%, caught products 1,361.7  thousand tons, increasing by 2.8%.
2. Industrial output

Industrial production for 8 months continued to increase as compared with last year’s same period. Industrial production value in August was estimated increasing by 18.1%, of which state owned enterprises increased by 9%, non-state sector by 23.3% and FDI sector by 22.4%.

Generally for 8 months, the industrial production value was estimated increasing by 16.2% over last year’ same period, of which state owned enterprises increased by 9.6%, non-state sector by 23.5% and FDI sector by16.7% (of which oil and gas decreased by 9.3% but others increased by 25.8%).

Higher increased rates of important products for the economy and exportation has taken a main part in the general increased rates of the industry for eight months: pure coal increased by 23.9%, processed seafood by 17.6 %, fertilizer by 48.7%, rolled steel by 16.5%, machine tools by 27.4%, electric motors by18%, assembled automobiles by 42.9%…Additionally, because of high and fluctuating costs for importation of input materials like steel, petroleum, plastic materials, paper…, and problems for seeking consuming market, especially market for exportation of textiles, footwear, art and handicraft goods…production of some products increased slowly or even slower than the level of last year’ same period: natural gas increased by 10%, ready-made garments by 10.5%, paper board by 9.7%, cement by 13.7%. Especially, crude oil production in 8 months was equal to 89% of same period last year only, sugar by 76.6%, silk by 97.3%, diesel engine by 78.5%…

3. Investment

Capital construction investment under the concentrated State budget in 8 months in 2005 was estimated at 36,542.7 billion VND, accounting for 70.4% of the year plan. Central investment gained 14,352.8 billion VND, accounting for 72.1% of the year plan; local investment gained 22,189.9 billion VND, accounting for 69.3% of the year plan.

In the central investment fund, the Ministry of Transportation had great proportions and accounted for 30.3%, equaling % of the year plan; the Ministry of Agriculture and Rural Development 9.6%, equaling 75.2% of the year plan, the Ministry of Construction 6.7%, and equaling 82.2% of the year plan. The Ministry of Education and Training and Ministry of Health had low rates (54.1% and 48.7% respectively) in realizing the budget plan for 2005.

Foreign direct investment: from 1^st January to 22 August 2005 there have been 490 newly granted license projects with a total capital registered 2,237.4 million USD, increasing by 8.9% in number of projects and 79.6% in capital registered over last year’ same period. On average a project licensed achieved 4.57 million USD, of which the average number was 3.26 million USD for project in the industrial and construction sector; 10.5 million USD for project in the service sector, and 1.79 million USD for project in the agriculture, forestry and fishery sector.

4. Trade, prices and services

Total retail sales of goods and services for 8 months in 2005 were estimated at 302.63 thousand billion VND at current prices, increasing by 19.1% over last year’ same period, of which the state sector gained 40,000 billion VND equivalent to last year’ same period; the collective sector 3, 020 billion VND, increasing by 22%; the household sector (which accounts for 61.3% of the total) 185,600 billion VCND, increasing by 18.6%; the private sector 61,700 billion VND, increasing by 34.8%; the foreign investment sector 12,200 billion VND, increasing by 32.1%.

Consumer prices in August raised 0.4% against last month, of which all prices for 10 groups of goods and services rose with different rates. Prices for means of transport and communication had a highest rate of 0.9% (however, prices for telecommunication decreased by 0.7%) against last month; food and food stuff increased by 0.3%; other goods and services were at common increased rates of 0.4%-0.6% (except for culture, sport & entertainment, and medical products that increased by 0.1% and 0.2% respectively).

As compared with December 2004, consumer prices in August 2005 increased by 6%, of which prices for all commodities and services increased: high prices for some groups took a major part in the increased rate, for example, food & foodstuff increased by 8%, means of transport and communication 5.8%…

The value of export turnovers for 8 months in 2005 was estimated at 20.35 billion USD, increasing by 18.7% against last year’ same period, of which the domestic economic sector gained 8.9 billion USD, increasing by 12.4%; the foreign invested sector (excluding crude oil) 6.87 billion USD, increasing by 20.6%, and crude oil 4.58 billion USD and increasing by 29.6%. Vietnam still maintained its export markets in 7 months with the emergence of new markets, especially in Africa. The United States accounted for 18% of the total export value of Vietnam, with turnovers of 3.16 billion USD, increasing by 16%, which was a leading market for 7 of 10 Vietnamese items having export values of over 100 million USD. Exports to Japan gained 2.464 billion USD and increased by 33%, of which seafood increased by 9.2%; crude oil 206%, textiles 16.8%…Exports to Australia gained 1.4 billion USD, increasing 477 million USD against last year’ same period, of which crude oil increased by 58%, seafood by 33%…  Exports to EU gained about 3 billion USD, slightly increasing by 1.2%. Notably, exports to some big and potential markets in this area such as Germany, UK, and Netherlands…decreased. Footwear gained 1.02 billion USD, decreasing 87 million USD, coffee 203 million USD, and decreasing 81 million USD…

The value of import turnovers for 8 months was estimated at 24.2 billion USD, increasing by 20% against last year’ same period: domestic sector 15.6 billion USD, increasing by 18.5%; foreign invested sector 8.64 billion USD and increasing by 22.8%. Up to now, the import value each month on average was 3.024 billion USD. Import turnovers increased mainly due to high costs of important items.

International visitors to Viet Nam for 8 months were estimated at 2,320,000 , increasing by 22.7% over last year’ same period, of which arrivals for tourism increased by 34.6%; ; for visiting relatives by 13.9%, and for other purposes by 27.9%. However, arrivals for business decreased by 8.6%.

Tags: Vietnam economic 2005, Vietnam economic statistics, Vietnam's economy situation